AB is considering postponing the internal combustion engine ban.

EU's Critical Vehicle Policy Change

The European Commission is working on innovative transition rules aimed at moving the automotive sector away from fossil fuel use. The details of these rules will become clear with announcements scheduled for next week. Governments of countries like Italy and Poland express that the current technology shift is overly hasty and argue that it could threaten one of Europe's key industries.

New Strategy: Allowing Internal Combustion Engines Until 2040

The Commission's proposed new strategy aims to extend the use of internal combustion engines in plug-in hybrids and extended-range vehicles until 2040. Sources indicate that this new regulation will depend on ongoing work related to green steel, advanced biofuels, and e-fuels production.

Emission Targets and Sectoral Concerns

This plan will proceed parallel to the EU's goal of achieving zero emissions for new passenger vehicles by 2035. However, the precise parameters of the proposal are of great importance. There are reports that details have not yet been finalized and that negotiations are ongoing within the commission. Additionally, various car and parts manufacturers are calling for the use of clean technologies other than electric vehicles after this date.

Environmental Impacts and Concerns

While automobile manufacturers will gain more time for the transition to fully electric vehicles with a potential delay, environmental groups have serious concerns regarding these changes. Environmental organizations are worried that the new opportunities created could further disadvantage leading automobile manufacturers in Europe against China.