European Automakers Seek Relaxation of 2035 CO2 Targets

European automakers and suppliers, represented by ACEA and CLEPA, have jointly petitioned the European Commission to reconsider the current 2030 and 2035 CO2 emissions targets, describing them as unfeasible under current economic, industrial, and geopolitical conditions. Their letter to EC President Ursula von der Leyen highlights challenges including Europe's dependency on Asia for battery supply chains, insufficient charging infrastructure, high manufacturing costs, and trade tariffs exacerbated by competition from Chinese EV manufacturers and U.S. tariffs. While the industry remains committed to the EU's net-zero 2050 goals, they argue that the rigid mandates, including the ban on new combustion engine vehicles by 2035, fail to reflect market realities and advocate for a more flexible approach that includes hybrids, efficient combustion engines, hydrogen, and e-fuels. The groups call for holistic, pragmatic policies with stronger demand-side incentives such as energy cost reductions and subsidies to accelerate EV adoption. A Strategic Dialogue between EU officials and industry leaders scheduled for September 12 aims to address these issues and recalibrate automotive policy. Despite earlier acceptance of the emissions rules, this shift signals growing industry frustration with the EU's current framework for automotive transformation.