The European Commission on Wednesday published a draft law that would make a 90% reduction in the EU’s net greenhouse-gas emissions by 2040, compared with 1990 levels, legally binding. The goal is intended as a stepping-stone toward the bloc’s existing pledge to reach climate neutrality by 2050. For the first time, Brussels proposes allowing member states to meet part of the target with international carbon credits. Up to three percentage points of the 90% goal could be covered by credits purchased from developing countries, phased in from 2036, with detailed quality standards to be set next year. The package also widens other flexibilities: permanent carbon removals would be integrated into the EU Emissions Trading System, and governments could shift effort among sectors to contain costs at a time of elevated energy prices and global trade frictions. Commission President Ursula von der Leyen said the plan offers a “pragmatic and realistic” path, while Climate Commissioner Wopke Hoekstra argued it provides investment certainty for industry. Finland immediately endorsed the target, but France, Poland, Italy and several lawmakers warned that the proposal could strain competitiveness and falls short of scientific advice to rely solely on domestic cuts. The draft must be negotiated by the European Parliament and the Council, with the Danish presidency aiming for agreement before the COP30 summit in Brazil in November. Once adopted, the Commission will derive a 2035 emissions milestone from the 2040 trajectory and table further legislation on carbon-credit rules.