Committee chair Ursula von der Reyen is pondering the automotive industry facing billions of euros fines for three years rather than one person to meet its target.
The European Commission proposes softening the net zero carbon emissions target for new vehicles.
“The targets remain the same. They have to meet the target, but that means more breathing space for the industry,” von der Reyen said at a press conference.
The proposal requires approval from the EU government and the European Parliament.
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Compliance is based on the average emissions of automobile manufacturers over the 2025-27 year period. The law provides that it is illegal to sell new fossil-powered vehicles on the block, as all new cars on the market starting in 2035 will not be able to release CO2.
“Major concerns”
Last year, the European Automobile Manufacturers Association (ACEA) argued the prospect of billions of euro fines, employment and competitive threats, as the target requirement for CO2, the key to Von Der Leyen’s European green trading.
“The ongoing trend to reduce the market share of battery-electric vehicles in the EU sends a very worrying signal to the industry and policymakers,” said ACEA, representing 15 European automakers, including BMW, Ford, Mercedes-Benz and Volkswagen.
Stellantis said the extended period of compliance for its carbon emissions targets is a “meaningful step in the right direction” to keep the automotive industry competitive.
EVS
The industry is also looking to challenge weak competition in demand from China and cheap EV competition.
Previously listed ACEA issues included issues related to charging and hydrogen replenishment infrastructure, a competitive manufacturing environment, “affordable green energy”, purchasing and tax incentives, and safe supply of raw materials, hydrogen and batteries.
“Economic growth, consumer acceptance and trust in infrastructure has also not been fully developed,” he said.
“As a result, a zero-emission transition is extremely difficult and there is concern that we will meet the van at the time of rising CO2 emission reduction targets for 2025,” ACEA said.
The current rules stated that “the further decline in the inherent ability of laws that cannot be adapted to actual development will further undermine the competitiveness of the sector.”
Reuters contributed to this report.
