Europe – The sale of new combustion engine automobiles and vans will cease by 2035, according to an agreement reached by negotiators on behalf of European governments and MEPs.
With the agreement, the EU will overtake China as the largest economy to phase out the sale of polluting vehicles. In Europe, 16% of all greenhouse gas emissions are caused by cars and vans. The arrangement was praised by the environmental group Transport & Environment (T&E).
According to the accord, automakers must cut the emissions of newly marketed cars by 55% in 2030 when compared to 2021 before reaching a 100% CO2 reduction in five years.
Use of e-fuels
To ensure that European automakers keep up in the global competition to lead on this green technology, T&E stated a strong EU industrial strategy is required. This strategy should include local content criteria for batteries and electric vehicles. Chinese EV manufacturers are quickly gaining market dominance in the EU thanks to years of subsidies and state-backed financing for their supply chains. The Inflation Reduction Act is giving American competitors a significant advantage over European manufacturers in the US.
A non-binding request by lawmakers to the Commission to find a use for e-fuels in cars not covered by the rule was also reached. Prior to becoming a law, the accord must now be formally ratified by the European Parliament and the EU’s environment ministers.