Mon Dec 30 20:30:00 UTC 2024: ## Polish Appliance Industry Faces Challenges Amidst EU Production Decline

**Warsaw, Poland** – Poland’s thriving appliance manufacturing sector, responsible for roughly 40% of the EU’s large appliance production, is facing significant headwinds, according to a report in *Puls Biznesu*. The industry, employing over 100,000 people, is grappling with a decline in production, increased import competition from outside the EU, labor shortages, and loopholes in EU regulations.

EU-wide production of major appliances dropped by 12 million units in 2022 (an 18% decrease), with Poland’s share falling from 38% to 36%. This decline coincides with a rise in imports from non-EU countries. The industry also cites rising wages and energy prices as major challenges.

Applia Polska, the organization representing Polish appliance manufacturers and importers, is calling for action during Poland’s EU presidency. They advocate for extending the Carbon Border Adjustment Mechanism (CBAM) to include finished appliances, not just raw materials. Currently, both the CBAM and the upcoming Emissions Trading System (ETS 2) will impose significant costs on EU manufacturers, estimated at over €400 million annually. A critical loophole exists, however, as neither system currently covers the import of finished goods containing taxed raw materials, giving non-EU producers a significant advantage starting in 2026. Applia Polska hopes to leverage Poland’s EU presidency to address these issues and level the playing field for the struggling sector.

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