The correct option is that Statement-I is correct, but Statement-II is incorrect because the European Union's target for achieving carbon neutrality is set for 2050, not 2040. The Net-Zero Industry Act aims to support the EU's commitment to reducing greenhouse gas emissions by enhancing clean technology production; however, the timeline for carbon neutrality by 2040 is inaccurate as per the EU's established goals. This highlights the importance of understanding the specific policy timelines and targets within the broader context of climate action frameworks in international environmental governance, which is relevant for UPSC Prelims in the context of current affairs and environmental policy.