AB is reconsidering the postponement of the internal combustion engine ban.

Critical Policy Change by the EU

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

New Strategy: Extension of Internal Combustion Engine Permission Until 2040

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

Emissions Target and Sectoral Concerns

This plan will proceed in parallel with the EU's goal of achieving zero emissions for new passenger vehicles by 2035. However, the exact parameters of the proposal carry great significance. Reports indicate that details have not yet been finalized and negotiations are still ongoing in the Commission. Additionally, various automobile and parts manufacturers are calling for the use of clean technologies other than electric vehicles after this date.

Environmental Impact and Concerns

Car manufacturers will gain more time for the transition to fully electric vehicles with the potential delay, but 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.