Confindustria Lombardia warns of unsustainable energy costs

Giuseppe Pasini, president of Confindustria Lombardia, has warned that rising energy and raw material costs have become unsustainable for Italian businesses. Speaking at the World Manufacturing Forum in Milan, Pasini highlighted that foundational industries—including chemicals, metallurgy, paper, ceramics, and glass—are facing severe pressure.

Pasini noted that high costs are already impacting production, with some steelworks forced to halt operations for several hours a day. He cautioned that if prices remain elevated, it could lead to cost-driven inflation and subsequent interest rate hikes by central banks, eventually slowing consumer markets. While employment remains stable for now, he warned of potential job losses.

To address the crisis, Pasini called for structural interventions rather than temporary measures. He emphasized the need to accelerate the development of renewable energy sources to reduce gas dependency, noting that while nuclear energy is a topic of discussion, its implementation timelines are too long to provide an immediate solution.