Plans to impose an effective ban on selling new cars with combustion engines in the European Union have been abandoned.
Instead, there will be more flexible rules to achieve a reduction in carbon dioxide emissions from cars, Manfred Weber, president of the EPP, the largest party in the European Parliament, said.
‘For new registrations from 2035 onwards, a 90 per cent reduction in CO2 emissions will now be mandatory for car manufacturers’ fleet targets, instead of 100 per cent,’ Weber told the German newspaper Bild.
‘There will also be no 100 per cent target from 2040 onwards.
‘This means that the technology ban on combustion engines is off the table.
‘All engines currently manufactured in Germany can therefore continue to be produced and sold.’
Plans to impose an effective ban on selling new cars with combustion engines in the European Union have been abandoned (File image)
Weber said this sent an important signal ‘to the entire automotive industry and secures tens of thousands of industrial jobs’, reflecting concerns over the future of one of Europe’s most important industries.
At least seven EU governments, including Germany and Italy, and several automakers have been lobbying for softer regulation.
Currently, EU rules set a goal to cut carbon emissions from new cars to zero by 2035, effectively banning sales of new combustion-engine vehicles.
Bulgaria, the Czech Republic, Germany, Hungary, Italy, Poland and Slovakia said in a joint statement earlier this week that while they recognise the need to reduce emissions, laws should be rooted in technological neutrality.
This would effectively give nations the freedom to choose whether to impose bans.
Volkswagen, Stellantis, Renault, Mercedes-Benz and BMW have all argued in favour of dropping the ban, instead letting customers decide what they want rather than having firm targets.
China has flooded the EU’s car market with a swarm of cheap electric vehicles, while European carmakers have been slow to embrace them.
They have now begun pushing back on regulations set by the bloc.
Sigrid de Vries, director general at the automotive lobby group European Automobile Manufacturers’ Association (ACEA), said the previous 2035 target is ‘no longer realistic’ given the lack of sufficient levels of infrastructure and grid upgrades.
‘Today’s CO2 regulation focuses only on new vehicle supply, without doing enough to spark real demand, whether through infrastructure, total cost of ownership, or incentives, and without linking it with competitiveness and resilience,’ said de Vries.