On December 16, 2025, the European Commission proposed a major revision to its roadmap for zero-emission vehicles, allowing some new combustion-engine models to stay on sale beyond 2035. The move comes after months of intense pressure from Germany, Italy and Europe’s robust auto industry.
From Full Ban to 90% Cut
The original plan, adopted five years ago, mandated a 100% reduction in CO2 emissions for all new cars and vans by 2035. Under the new proposal, automakers must achieve a 90% cut compared to 2021 levels, with the remaining 10% offset through lower-carbon steel, synthetic e-fuels or non-food biofuels such as agricultural waste and used cooking oil.
Interim Targets and Fleet Strategies
The proposal also eases 2030 CO2 targets: cars would need a 55% reduction (down from 60%), and vans a 40% cut (down from 50%). A three-year compliance window from 2030 to 2032 gives manufacturers breathing room. The Commission plans to set national fleet goals—based on GDP per capita—for 2030 and 2035, aiming to boost electric vehicle uptake in corporate fleets, which now account for about 60% of new car sales in the EU.
Automakers Score a Win
Germany’s flagship brands, along with France’s Stellantis and Italy’s Fiat, argued that keeping plug-in hybrids and range extenders is vital as they face fierce rivalry not just from Tesla, but also EV imports from the Chinese mainland—despite existing tariffs on models built there. Ford’s recent $19.5 billion writedown and axed EV lines in the United States underscored the sector’s challenges.
Climate Risks and Competitive Edge
Critics warn that backtracking now could undermine Europe’s clean-tech investment and risk falling further behind producers in the Chinese mainland in the global EV race. "Moving from a clear 100% zero-emissions target to 90% may seem small, but if we backtrack now, we won’t just hurt the climate. We’ll hurt Europe’s ability to compete," said Michael Lohscheller, CEO of Swedish EV maker Polestar. William Todts, executive director of Transport & Environment, added, "Clinging to combustion engines won’t make European automakers great again."
What’s Next?
The revised rules require approval from EU governments and the European Parliament, with final votes expected in 2026. The Commission also floated a new category for small EVs, subject to lighter regulations and extra CO2 credits if built in the EU. As Europe navigates this policy pivot, the world will watch whether the bloc can balance industrial realities with its broader climate goals.
Reference(s):
cgtn.com
