Germany, France agree plan to soften EU 2035 engine rules
The proposed changes would allow some combustion-car sales while tying public support to European production from 2028.
Key takeaways
- The plan would require automakers to cut average emissions by 90% from 2035.
- Public support for vehicles would be limited to those made in Europe from 2028.
- Battery components would face rising European-production requirements from 2028 to 2032.
Germany and France have agreed on a strategy to ease planned European Union rules for automakers, including the bloc’s 2035 target to phase out combustion engines. The proposed changes would let manufacturers continue selling petrol and diesel cars if their fleets meet average emissions targets.
The plan, reported by Bloomberg HT and Borsa Gündem citing Handelsblatt, would require automakers to cut average emissions by 90% from 2035. It would remove the carbon-offset requirement for the remaining 10%. Planned electric-vehicle quotas for large companies’ commercial fleets would become non-binding national targets.
From 2028, state-supported car purchase incentives, leasing subsidies and public tenders would cover only vehicles made in Europe. At least 70% of the value added in their parts would have to come from Europe. The United Kingdom could be exempt if it complies with EU trade and investment protection rules.
The strategy also sets European-production requirements for battery components, including cells. At least 10% would have to be produced in Europe in 2028 and 2029, with the target rising from 20% to 80% over 2030-2032.
Germany and France plan to pursue the changes jointly at the EU Council. The proposal aims to steer public support toward European production rather than imports from Asia and the Americas.
This article was produced with the help of AI technology. Based on reporting by the outlets listed above.
