The European Union is poised to scale back its planned phase-out of internal combustion engines, with senior lawmaker Manfred Weber saying automakers will no longer be required to meet a full zero-emissions target by 2035.
Instead, fleet-wide CO₂ reductions for new cars and vans are expected to be lowered from 100 percent to 90 percent compared with 2021 levels, a shift EU bureaucrats are reportedly set to confirm next week.
The change follows mounting pressure from Europe’s car industry and key member states, with major manufacturers such as Volkswagen, BMW and Mercedes-Benz warning that strict emissions rules, weak global demand and rising costs are threatening the sector’s viability.
German Chancellor Friedrich Merz has also urged greater flexibility, arguing the industry is under severe economic strain.
Carmakers across the bloc have been hit by softer sales, growing competition from Asian electric vehicle makers, higher energy prices and broader economic fallout linked to the Ukraine war and reduced access to cheaper Russian energy supplies.
Image credit: Kaan Boyaci
