Foreword Industrial production is the foundation of the global economy, yet it is also a significant source of greenhouse gas emissions. As countries and industrial sectors pursue pathways to net zero, the question is not whether carbon management is needed, but how to do it effectively. Among the options available, carbon capture and utilization (CCU) offers a promising pathway to convert captured CO2 into products such as fuels, chemicals and building materials – potentially creating new industrial value streams while reducing reliance on primary fossil feedstocks and contributing to emissions abatement. While CCU is still at an early stage, with high costs and uneven policy support, its potential benefits warrant attention. Policies currently favour carbon capture and storage (CCS) over utilization and this imbalance, combined with limited market signals, could shape the depth and pace of CCU’s development in the years ahead. Whether CCU proves to be a meaningful lever for decarbonization will depend on how stakeholders choose to create the right conditions for innovation, deployment and learning. As momentum builds behind industrial decarbonization, CCU merits thorough, context- specific consideration. We invite stakeholders – including governments, industry, investors and researchers – to engage in a clear-eyed assessment of CCU’s role within broader transition strategies. The challenge is to identify where CCU can deliver both climate and economic value, and how targeted support can accelerate that process as part of a larger set of strategies delivering more sustainable production and emissions management The task is complex, but also full of possibility. With the right coordination, shared ambition and a willingness to test solutions, we can uncover where CCU truly adds value. By fostering open, evidence-based dialogue and clarifying the conditions required to scale up what works, decision-makers can ensure that choices around CCU are deliberate, informed and aligned with a sustainable industrial future.Simon Flowers Chairman & Chief Analyst, Wood Mackenzie Fernando J. Gómez Head, Future of Materials, Member of the Executive Committee, World Economic Forum Defossilizing Industry: Considerations for Scaling-up Carbon Capture and Utilization PathwaysSeptember 2025 Defossilizing Industry: Considerations for Scaling-up Carbon Capture and Utilization Pathways 3

Defossilizing Industry Scaling-up CCU 2025