European Parliament environment committee leaves room for new combustion-engine cars beyond 2035
A compromise between Christian Democrats, Socialists and Liberals lowers the CO2 target for new cars to 87.5 percent, with extra credit for green steel.
The European Parliament's environment committee (ENVI) on Wednesday approved its position on CO2 standards for new cars and vans by 48 votes to 30 with 2 abstentions, Eunews reports. The text is a compromise between the EPP, the S&D and Renew Europe. For new passenger cars, fleet emissions in 2035 would no longer have to fall by 100 percent but by 87.5 percent. The European Commission had proposed 90 percent in December 2025. Manufacturers would also be allowed to offset up to 7.5 percent of remaining emissions with credits for low-carbon steel made in the EU, bringing the total to 95 percent.
For vans, the 2030 target becomes 35 percent, compared with 40 percent in the Commission's proposal and 50 percent under current rules, and 80 percent for 2035, writes Eunews. For cars, the 2030 target stays at 55 percent, but manufacturers may average their results over 2029 to 2031, Reuters reported when the three groups reached their deal. Cars running exclusively on renewable fuels could count as zero-emission, and small electric cars made in the EU would weigh more heavily in the calculation.
Rapporteur Massimiliano Salini (Forza Italia, EPP) calls it a turning point. German Green Michael Bloss considers it a bad deal and says political inconsistency harms the sector more than high costs, Newsmonkey reports. Environmental groups fear the signal for electrification is being weakened. German and Italian employers' federations BDI and Confindustria are pleased but want to go further, with an unconditional 90 percent target, according to Eunews. According to Bruegel data, European car production is still almost 20 percent below its 2019 level, writes Newsmonkey.
The text still has to be approved by Parliament's plenary in December. Parliament will then negotiate a final version with the member states. France and Germany had already agreed between themselves last month to aim for a 90 percent target for 2035 without offsetting measures, Reuters reported.