EU to water down landmark ban on new petrol and diesel cars

"The EU has confirmed it will water down its landmark 2035 ban on the sale of new petrol or diesel cars, yielding to heavy pressure from the car industry and leaders from several EU member states including Germany and Italy. Under current legislation manufacturers were obliged to ensure that 100% of production of cars and vans had zero emissions up to 2035."

"However, in a carrot-and-stick approach, the remaining 10% of assembly line output that is not carbon neutral will need to be compensated by other green measures on the factory floor, including the use of green steel made in Europe or use of biofuels in non-electric vehicles. This will allow for plug-in hybrids (PHEV), range extenders, mild hybrids, and internal combustion engine vehicles to still play a role beyond 2035, in addition to full electric (EVs) and hydrogen vehicles, the commission said."

"Europe remains at the forefront of the global clean transition."

The European Commission reduced the 2035 requirement for zero-emission new cars and vans from 100% to 90%, allowing a limited share of non-zero-emission vehicles to be sold after 2035. Eligible non-zero-emission models include plug-in hybrids, range extenders, mild hybrids and internal combustion engine vehicles, alongside full electric and hydrogen models. The remaining 10% of production that is not carbon neutral must be offset by green measures on the factory floor, such as use of European green steel or biofuels in non-electric vehicles. Electric van targets were relaxed from a 50% to a 40% emissions reduction by 2030. The change follows lobbying by leaders including Friedrich Merz and Giorgia Meloni and is seen as a victory for automakers facing electrification challenges and increasing Chinese competition; the Greens denounced it as a gutting of flagship emissions legislation.

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