["Business Strategy and the Environment, EarlyView. ", "\nABSTRACT\nDrawing on an original survey of 51 ceramic firms across multiple EU Member States—including both regulated and unregulated under the EU Emissions Trading System (EU ETS)—the study provides insight into how ceramic manufacturers assess the financial impacts of carbon pricing, the decarbonization measures adopted, and the strategic drivers shaping firms' low‐carbon transitions. The survey includes firms of varying sizes and sub‐sectors, ranging from tiles to technical and advanced ceramic producers. Approximately half of ETS‐regulated firms report increased investments in energy efficiency or cleaner technologies, while others experience reduced margins, higher operating costs, or even little discernible impact. Both ETS and non‐ETS respondents have implemented at least some decarbonization measures—most commonly renewable electricity, circular economy practices, and lower‐carbon fuels—though with substantial variation across sub‐segments. ETS‐regulated respondents tend to prioritize electrification and fuel switching, whereas non‐regulated respondents lean toward circular economy approaches and considerably plan further measures in the near term. These insights could highlight the differentiated effects of the EU ETS and underscore the need for nuanced policy design and firm‐level strategies to support a credible decarbonization pathway in the ceramics sector.\n"]