Rome and Berlin have taken a significant stand in the ongoing debate surrounding the European Union's ambitious 2035 deadline for banning the sale of petrol and diesel vehicles. Italy and Germany are rallying support from other EU members to soften the bloc’s CO2 emission standards for vehicles, arguing that the current framework places unsustainable pressure on Europe’s automotive industry.
The EU’s ambitious environmental goals include a zero-emission mandate by 2035, effectively banning petrol and diesel cars. However, the Italian Industry Minister, Adolfo Urso, stated in Brussels that achieving this target is now “certainly impossible” without significant adjustments. He proposes moving the review clause of the legislation from late 2026 to early 2025, urging for more immediate reconsideration of the current plan.
Echoing the Italian sentiment, Germany's Economy Minister, Robert Habeck, emphasizes the need to either support the industry with adequate infrastructure or postpone the objective. The automotive industry itself, led by prominent manufacturers such as BMW, Volkswagen, and Renault, has voiced concerns, claiming that without further incentives for zero-emission vehicle production, job losses and economic stagnation are imminent.
Industry Struggles and Economic Impact
The European car industry has been struggling with several challenges: slow adoption of electric vehicles (EVs), insufficient charging infrastructure, and a secure supply of raw materials like batteries and hydrogen. In August, the European Automobile Manufacturers' Association (ACEA) reported an 18% drop in new car registrations, with electric vehicle sales suffering the most. This decline underscores the structural weaknesses within the EU's EV market, exacerbated by rising production costs and competition with larger SUV models, which dominate consumer preferences.
The ACEA has thus called for "urgent relief measures" to avoid multi-billion-euro fines that carmakers might face next year. The association highlights the need for better government support in the form of subsidies, tax incentives, and affordable green energy to create a viable path for the auto industry to meet the CO2 emissions standards.
The European Commission’s Response
Despite these appeals, the European Commission has pushed back against industry claims, stressing that the industry had ample time to prepare. The Commission remains committed to its green transition goals, citing that the 2025 emission targets were agreed upon in 2019, giving the automotive industry nearly six years to adapt.
Political Tension and the Future of CO2 Regulations
The broader political debate within the EU reflects a tension between economic realities and environmental ambitions. Countries like Italy and Germany are seeking a balanced approach, where the automotive sector receives more time or resources to adjust. Conversely, the European Commission and environmental groups argue that further delays could harm Europe’s position in the global fight against climate change.
While the 2035 zero-emission target remains in place, the possibility of a significant policy shift in the near future is growing, especially with the upcoming EU Council summit where these matters will be discussed. Whether the bloc’s green ambitions will prevail over economic concerns is an ongoing conversation, one with significant implications for Europe’s automotive industry and climate policy.
Source: Euronews
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