German Chancellor Merz Pressures EU to Delay 2035 Combustion Engine Ban Amid Auto Industry Job Losses

German Chancellor Friedrich Merz has called for greater flexibility from the European Union regarding its 2035 deadline to phase out combustion-engine vehicles, emphasizing the need for 'smart, reliable and flexible' regulations that support technological openness in the transition to electric mobility. Speaking at the IAA motor show in Munich, Merz stressed the importance of cost-effective climate protection and hinted at support for hybrid and other technologies alongside pure electric vehicles. Bavaria's leader Markus Soeder echoed these concerns, stating that combustion engines still have a future and that more time is needed to organize the transition in Europe. The German auto industry, including major players like VW, BMW, Mercedes-Benz, and Stellantis, is facing intense global competition, especially from China and the US, alongside challenges from high tariffs and weak European demand. Merz pledged to hold a summit with industry stakeholders to address these challenges and highlighted the need to expand battery production and encourage innovation. The broader message from Merz and his allies is a push to reconsider or soften EU rules to protect Germany’s vital automotive sector during this critical shift.