Over the past decade, Europe has emerged as a cleantech innovation leader, developing many of the technologies needed to decarbonise, strengthen energy resilience, and build industrial leadership. Yet it now faces a critical scale-up challenge. Key clean technologies like batteries, electrolysers, and long-duration storage are struggling to reach mass production due to inconsistent industrial policy, underused capital, talent shortages, and growing pressure from global competitors. China’s state-driven approach, backed by heavy subsidies and integrated supply chains, is reshaping global markets and exposing Europe’s vulnerabilities. Without decisive action, Europe risks missing out on jobs, innovation, and value creation—while becoming increasingly dependent on foreign-made clean technologies. To stay competitive in this new era of global industrial competition, Europe must move beyond innovation leadership—and build the industrial foundations to scale what it invents.