Inside Electrolux's 36-Year Relationship with the EIB
Electrolux Group, the global leader in household appliances, has received a €200m (US$206m) loan from the European Investment Bank (EIB) to advance its research and development of energy-efficient appliances.
This funding willl support Electrolux’s initiatives in Italy, Sweden, Germany, Poland and Romania, focusing on greener and more digitalised solutions for everyday living.
There will be a particular focus on reducing energy consumption and resource use in Electrolux products.
The research and innovation efforts are set to conclude by 2026, with much of the work centred in the province of Pordenone, Italy, a hub for Electrolux's operations.
The project aligns with the European Union’s goals of fostering environmental sustainability and digital transformation.
The view from the European Investment Bank
EIB Vice President Gelsomina Vigliotti believes this investment will be hugely beneficial for all parties.
“This agreement highlights our commitment to fostering innovation and sustainability in Europe’s leading industries,” she explains.
“Reducing energy consumption and the enhancing sustainability of home appliances are crucial steps towards a greener future.”
Thomas Östros, another Vice President of the EIB, praised Electrolux’s leadership in sustainability.
“Through this loan, we continue to support Electrolux in driving the green transition, strengthening Europe’s competitiveness, and contributing to a more sustainable future for both businesses and consumers,” he says
The loan is supported by the InvestEU programme, which aims to mobilise over €372bn (US$383bn) in additional investments across Europe by 2027, advancing key strategic priorities such as the European Green Deal and digitalisation.
An investment in sustainable exploration
The loan will support Electrolux's efforts to develop more efficient appliances for food preparation, preservation, fabric care and dish care.
Additionally, the company aims to integrate advanced digital technologies across all product platforms to improve functionality and user experience.
According to Electrolux, the drive for innovation is deeply rooted in sustainability.
The company notes that household appliance usage accounts for approximately 85% of their lifecycle carbon dioxide emissions, making efficiency improvements a critical factor in reducing environmental impact.
Elena Breda, Chief Technology and Sustainability Officer at Electrolux Group, emphasised the importance of this funding in achieving the company’s sustainability goals.
“The support Electrolux Group receives from EIB is important in our work to achieving our second science-based climate target, which was approved by the Science-Based Targets initiative after we had achieved the first target three years ahead of time,” she says.
Electrolux's ongoing relationship with the European Investment Bank
The EIB loan is part of the broader InvestEU programme, a European Union initiative designed to mobilise over €372 billion in investments by 2027.
The partnership between EIB and Electrolux is longstanding, dating back to 1989.
This is the fifth time Electrolux has received financial backing from the EIB, underscoring the bank’s confidence in the company’s ability to deliver impactful results.
As Electrolux pushes forward with these projects, the funding aims to foster greater synergies between sustainability and technological innovation.
Elena explains the company’s focus well. “Our focus the coming years will be to accelerate synergies between technology and sustainability to develop smarter and more resource efficient products to help consumers live more sustainably,” she says.
How Electrolux plans to use the funding
Electrolux Group’s dedication to sustainability is not new. The company has long prioritised reducing its environmental footprint, both in its operations and through the products it delivers to consumers worldwide.
In 2023, Electrolux reported sales of SEK 134bn (approximately US$12bn) and employed 45,000 people across its operations in 120 markets. Its leading appliance brands, including AEG and Frigidaire, are staples in households globally.
The latest funding initiative reflects a growing emphasis on aligning corporate goals with environmental responsibility. It also signals an industry-wide recognition of the role household appliances play in addressing climate challenges.
With the financial and strategic support of the EIB, Electrolux is positioned to push the boundaries of what is possible in creating products that combine performance and sustainability.
Elena highlighted the broader impact of Electrolux’s innovations: “Our focus is to develop smarter and more resource efficient products to help consumers live more sustainably.”
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