Europe Asia News

Various media outlets have reported in recent days that the policy would be softened. Senior European Parliament member Manfred Weber told Germany’s Bild newspaper last weekend that the ban would be eased.

Europe’s decision to ban the sale of new diesel and petrol cars and vans from 2035, adopted in 2023, was seen as a landmark policy within the EU’s flagship Green Deal. The move aims to eliminate CO2 emissions from cars and vans by that year.

Easing the ban could give more flexibility to original equipment manufacturers in the region, which are already grappling with U.S. tariffs, supply-chain disruptions, intense competition from China, and the challenges of the shift to electric vehicles.

While analysts question how much the step will boost the region’s competitiveness in the long run, campaigners criticized it as another potential rollback of the bloc’s climate goals.

The policy has resurfaced in recent months. Some automotive industry groups are calling for a redesign of the ban to strengthen Europe’s industrial competitiveness while safeguarding climate targets and the strategic resilience of supply chains.

Sigrid de Vries, director general of the European Automobile Manufacturers’ Association (ACEA), said, “Flexibility is an urgent need.” In a LinkedIn post, de Vries said, “2030 is approaching and market demand is too low to avoid the risk of billions of euros in penalties for manufacturers,” calling the expected EU announcement “a critical moment for the automotive package.”

She added that building the charging infrastructure needed to get the market back on track, and rolling out financial and purchase incentives, will take time.

ACEA represents 16 major Europe-based automakers including Volkswagen, BMW, Ferrari and Renault.
However, some automakers that produce electric vehicles urged the EU to “stand firm” on its 2035 target and “back it up with bolder steps.”

In an open letter published in mid-September, more than 150 leaders of the region’s electric-car industry said the target has already triggered new investments worth hundreds of billions of euros. Signatories included EV makers Volvo and Polestar, along with materials suppliers, battery manufacturers and grid operators.