Commission proposes flexibility to help manufacturers comply with 2025 CO2 emission targets for new cars and vans

This article is brought to you in association with the European Commission. Today, the European Commission proposed a targeted amendmentto the Regulation setting CO2 emission performance standards for new cars and vans. The amendment introduces a flexibility measure with their CO2 targets between 2025 and 2027. This proposal was announced as part of the Commission’s Industrial […]

EIB supports ZF in developing advanced braking and steering for cars

This article is published in association with United Nations.This article is published in association with European Investment Bank. The European Investment Bank (EIB) is providing a promotional loan of €425 million to German automotive supplier ZF Friedrichshafen AG. The funds will enable ZF to invest a total of €1.3 billion in   research and development of innovative technologies for braking and steering systems, actively shaping the switch to software-defined […]

Supporting EV charging infrastructure in eastern Europe and the Baltic states

This article is brought to you in association with EBRD. The European Bank for Reconstruction and Development (EBRD) is making an equity investment of €15 million in Eldrive Holding GmbH (Eldrive), a leading regional charging point operator in Bulgaria, Lithuania and Romania. By 2028, it will install and operate 7,400 new electric vehicle (EV) charging […]

Automotive industry circularity: How the EU, China and the US are revving up sustainability

This article is brought to you thanks to the collaboration of The European Sting with the World Economic Forum. Author: Kiva Allgood, Head, Centre for Advanced Manufacturing and Supply Chains, World Economic Forum, Na Na, China Lead, Advanced Manufacturing and C4IR, World Economic Forum While the adoption of Battery Electric Vehicles (BEVs) represents a significant leap forward in reducing direct […]

2023 figures show stalling progress in reducing road fatalities in too many countries

This article is brought to you in association with the European Commission. Today, the Commission is publishing preliminary figures on road fatalities for 2023. Around 20,400 people were killed in road crashes in the EU last year, a small 1% decrease on 2022.  Despite some progress since the baseline year of 2019[1], few Member States are on […]

MEPs back updates to EU rules on driving licences to improve road safety

This article is brought to you in association with the European Parliament. Mobile driving licences, self-assessment of fitness to drive and better awareness of pedestrians are some of the changes to EU driving licence rules by MEPs on Wednesday. With more than 20 000 lives lost on EU roads every year, Parliament backs reforming the EU’s driving licence […]

Zero emission vehicles: first ‘Fit for 55′ deal will end the sale of new CO2 emitting cars in Europe by 2035

This article is brought to you in association with the European Commission. The European Commission welcomes the agreement reached last night by the European Parliament and Council ensuring all new cars and vans registered in Europe will be zero-emission by 2035. As an intermediary step towards zero emissions, the new CO2 standards will also require average […]

How the German car industry became more sustainable and what to learn from it 

The Commission today presented the Automotive Package to support the sector's efforts in the transition to clean mobility. It sets an ambitious yet pragmatic policy framework to ensure 2050 climate neutrality and strategic independence while providing more flexibility to manufacturers. It also responds to calls by EU industry to simplify rules. The automotive sector has been key to Europe's industrial strength for decades, sustaining millions of jobs and driving technological innovation. As the world is changing, the car industry is transforming through new technologies and actors. Today's package maintains a strong market signal for zero-emission vehicles (ZEV) while giving the industry more flexibility to achieve CO2 targets, and supports vehicles and batteries made in the European Union. The corporate vehicles initiative will support the uptake of zero- and low-emission vehicles. The automotive omnibus enhances competitiveness by saving costs, expected to be approximately €706 million per year, and cutting red tape, while providing greater investment certainty. Commission President von der Leyen said: “Innovation. Clean mobility. Competitiveness. This year, these were top priorities in our intense dialogues with automotive sector, civil society organisations and stakeholders. And today, we are addressing them all together. As technology rapidly transforms mobility and geopolitics reshapes global competition, Europe remains at the forefront of the global clean transition.” Staying the course towards clean mobility with pragmatism The Commission presents a package that addresses both supply and demand of the automotive sector's transition: on the supply side, it presents a review of the existing CO2 emission standards for cars and vans and a targeted amendment to those for heavy-duty vehicles (HDVs). On the demand side, it proposes an initiative to decarbonise corporate vehicles with binding national targets for zero- and low-emission vehicles. The CO2 standards now provide further flexibilities to support the industry and enhance technological neutrality, while providing predictability to manufacturers and maintaining clear market signal towards electrification. From 2035 onwards, carmakers will need to comply with a 90% tailpipe emissions reduction target, while the remaining 10% emissions will need to be compensated through the use of low-carbon steel Made in the Union, or from e-fuels and biofuels. This will allow for plug-in hybrids (PHEV), range extenders, mild hybrids, and internal combustion engine vehicles to still play a role beyond 2035, in addition to full electric (EVs) and hydrogen vehicles. Prior to 2035, car manufacturers will be able to benefit from “super credits” for small affordable electric cars made in the European Union. This will incentivise the deployment on the market of more small EV models. For the 2030 target for cars and vans, additional flexibility is introduced by allowing “banking & borrowing” for 2030-2032. An additional flexibility is granted for the vans segment, where the electric vehicle uptake has been structurally more difficult, with a reduction of the 2030 CO2 vans target from 50% to 40%. The Commission is also proposing a targeted amendment to the CO2 emission standards for heavy-duty vehicles with a flexibility easing the compliance with the 2030 targets. Regarding corporate vehicles, mandatory targets are set at the Member State level to support the zero- and low-emission vehicle uptake by large companies. Having more zero- and low-emission vehicles on the market, both first- and second-hand markets – will benefit all customers. As companies' cars cover higher yearly mileages, it also means more emission reductions. It will also make zero- or low- emissions and “Made in the EU” a pre-requisite for vehicles benefitting from public financial support. Strengthening Europe's own battery industry With €1.8 billion, the Battery Booster will accelerate the development of a fully EU-made battery value chain. As part of the Battery Booster, €1.5 billion will support European battery cell producers through interest-free loans. Additional targeted policy measures will support investments, create a European battery value chain and foster innovation and coordination across Member States. These measures will enhance the cost competitiveness of the sector, secure upstream supply chains and support sustainable and resilient production in the EU, contributing to the derisking from dominant global market players. Less red tape and stronger enabling conditions for the transition The Automotive Omnibus will ease administrative burden and cut costs for European manufacturers, boosting their global competitiveness, and freeing up resources for decarbonisation. Businesses are expected to save approximately €706 million per year, bringing the administrative savings thanks to all omnibuses and simplification initiatives the Commission has presented so far to around €14.3 billion per year. Among other things, it proposes to reduce the number of secondary legislation that will be adopted in the upcoming years and to streamline testing for new passenger vans and trucks. This will reduce costs while maintaining highest environmental and safety standards. The roll-out of electric vans in domestic transport is supported by measures that place them on an equal footing with internal combustion vans regarding drivers' rest times and rules. The Omnibus also introduces a new vehicle category under the Small Affordable Cars initiative, covering electric vehicles up to 4.2 meters in length. This will enable Member States and local authorities to develop targeted incentives, stimulating demand for small EVs made in the EU. The Commission is also updating and harmonising car labelling rules, for customers to have complete information about the cars' emissions when making purchases. Background Today's proposals build on the Automotive Action Plan, and input from industry and key stakeholders gathered during the Strategic Dialogue under President von der Leyen's leadership since January 2025. In January 2025, President von der Leyen launched a Strategic Dialogue on the Future of the Automotive Industry, bringing together industry representatives, social partners, Member States, regions and civil society. Three Dialogue meetings have taken place to date, providing a platform to discuss the challenges and opportunities the sector faces. For more information Questions and answers Factsheet - Taking action for a clean and competitive European automotive sector Factsheet – Revision of the CO2 standards and Corportate vehicles Proposal Automotive Package – webpage (all proposals will be available) Automotive Action Plan – webpage Clean Industrial Deal Net-Zero Industry ActThis article is brought to you thanks to the collaboration of The European Sting with the World Economic Forum. Author: Florian Wissuwa, PhD candidate, Research Assistant, Chair of Supply Chain and Operations Management, Berlin campus of ESCP Business School, Christian F. Durach, Full Professor, Chair of Supply Chain and Operations Management, Berlin campus of ESCP Business School Numerous […]

‘Divorce is too bloody expensive’: Volvo’s purchasing chief on vetting and forging effective partnerships

This article is brought to you thanks to the collaboration of The European Sting with the World Economic Forum. Author: Linda Lacina, Digital Editor, World Economic Forum There is no Tinder for business partnerships, no algorithm that can prompt an exec to swipe right on an external business partner with the perfect match of mindsets and capabilities to […]

Antitrust: Commission publishes findings of evaluation on the Motor Vehicle Block Exemption Regulation

This article is brought to you in association with the European Commission. The European Commission has published today the Evaluation Report and Staff Working Document summarising the findings of its evaluation of the Motor Vehicle Block Exemption Regulation. The aim of the evaluation was to gather evidence on the functioning of the rules applicable to vertical […]

This surprising change can help the auto industry tackle emissions goals

This article is brought to you thanks to the collaboration of The European Sting with the World Economic Forum. Author: Eric Hannon, Partner, McKinsey & Company & Bernd Heid, Senior Partner, McKinsey & Company & Christoph Wolff, Head of Shaping the Future of Mobility, World Economic Forum To reach emissions goals, the automotive industry must make large-scale changes.As […]

We must prevent a post-COVID ‘carmageddon’. Here’s how

This article is brought to you thanks to the collaboration of The European Sting with the World Economic Forum. Author: Sheila Watson, Deputy Director, FIA Foundation & Imke Verburg, Programme Coordinator the Netherlands, Bernard van Leer Foundation Now is the time to consolidate the gains we have made in terms of cleaner air.Opening up and repurposing our streets […]

Residents and visitors to this Dutch neighborhood could share a pool of cars and bikes

This article is brought to you thanks to the collaboration of The European Sting with the World Economic Forum. Author: Johnny Wood, Senior Writer, Formative Content A new city center development in the Netherlands could go nearly car-free. Residents in this district will share a pool of cars and bicycles. There will be 3 private car parking spaces […]

How should cities prepare for self-driving cars? Here’s a roadmap

This article is brought to you thanks to the collaboration of The European Sting with the World Economic Forum. Author: Tim Dawkins, Project Lead, Automotive and Autonomous Mobility, World Economic Forum If forecasts hold true, autonomous vehicles (AVs) operating as taxi fleets without human safety drivers could be in widespread use in cities around the world by 2030. The […]

A profitability roadmap for the fast-changing automotive sector

This article is brought to you thanks to the collaboration of The European Sting with the World Economic Forum. Author: Nikolaus Lang, Senior Partner and Managing Director, Boston Consulting Group & Charley Xu, Partner and Managing Director, Boston Consulting Group The rise of electric vehicles, self-driving cars and shared mobility will dramatically change the sources of profitability in the […]

How we can embrace the electrical vehicle transition by adopting smart charging

This article is brought to you thanks to the collaboration of The European Sting with the World Economic Forum. Author: Wolfgang Ketter, Professor of Information Systems for Sustainable Society, University of Cologne The age of the electric vehicle (EV) is dawning, with two million of them sold in 2018. Whether EV purchases are motivated by environmental concerns, lower operating […]

Commuters in these cities spend more than 8 days a year stuck in traffic

This article is brought to you thanks to the collaboration of The European Sting with the World Economic Forum. Author: Sean Fleming, Senior Writer, Formative Content Ask any motorist about traffic congestion and they will regale you with tales of long queues, wasted time, and mounting frustration. It’s a global problem with some of the world’s greatest cities also […]

The China-US trade deal will be signed on time; the path is set

The China-US trade truce agreed upon by the US President Donald Trump and his Chinese counterpart Xi Jinping has just prolonged the uncertainties haunting all and every world market. Stock exchanges on Monday went up and then on Tuesday fell on the news. The respite was struck last Saturday between the two leaders, in the […]

The new North America trade deal USMCA punishes German cars

The North America Free Trade Agreement (NAFTA) is dead. Long live the new United States, Mexico, Canada Agreement (USMCA). The three North American nations will continue trading goods of a value of at least $ 1.2 trillion yearly between them. The US President Donald Trump had termed NAFTA as the worse trade deal his country […]

Security spillovers from Trump’s trade wars: China, Germany prepare for global disorder

US President Donald Trump’s aggressive trade strategy has now gone past the economic landscape and touched security issues. There are strong signs that next month’s security meeting between US and China may be cancelled. If this is the case, the two largest economies of the earth may enter uncharted waters. Until now, they have been […]

Trump aims trade offensive solely to China, renews truce with EU

US President Donald Trump’s thundering trade salvos now seem to be concentrating exclusively against China. This week’s cannonade though didn’t remain unanswered. On Monday, the Chinese Foreign Ministry spokesman, Geng Shuang, said “China will inevitably take countermeasures to resolutely protect our legitimate rights”. On Friday 7 September, the ‘America first’ ex TV celebrity aboard ‘Air […]

The US-Mexico trade deal a threat for others, Trump to single out China, Europe

The North American Free Trade Agreement (NAFTA) between US, Mexico and Canada is reborn. It was discarded and denounced by the American President Donald Trump since the first days of his campaign to conquer the White House, and now it returns almost undamaged, just under another name. Last Monday, after more than one year of […]

What would happen if we removed cars from cities?

This article is brought to you thanks to the strategic cooperation of The European Sting with the World Economic Forum. Author: Audrey de Nazelle, Lecturer in air pollution management, Centre for Environmental Policy at Imperial College London Air pollution is now the fourth biggest killer in the world after smoking, high blood pressure and diet. It contributes to more […]

Skeptic France about Trump-Juncker trade deal favoring German cars; EU’s unity in peril

The Trump-Juncker trade truce and pledge for ‘zero tariffs’ seems to have left everybody happy, especially Berlin, but the French said don’t uncork ‘les champagnes’, at least not yet. In detail, last Wednesday, the American President Donald Trump and the European Commission President Jean-Claude Juncker met in the White House and struck an agreement about […]

The EU sides with China against the US; but has Germany capitulated to America?

If billions of EU penalties on American icon companies and U.S. super tariffs on European cars are strong and aggressive trade weapons, then yes the EU and the U.S. are at all out economic war. As in all wars, the difficult or even impossible thing is to predict its end. Unavoidably, there will be victims […]

Trump doesn’t only target Germany, aims to crack the entire EU

The EU-US trade war is now deeply dividing Europe between those who export cars to America and those who don’t. Germany and France have for quite some time been at odds, regarding the handling of the latest Donald Trump threat to impose import super-tariffs on cars assembled in Europe. Now, however, their differences are becoming […]

At last Germany to negotiate the costs for a really cohesive Eurozone

Finally, Germany blinked. Chancellor Angela Merkel at last decided  to clearly respond and, up to a certain degree, uphold French President Emmanuel Macron’s ideas, about reforming the Eurozone, in order not only to save it from unraveling, but, if  possibe, to make it more cohesive and stronger. In an interview to last Sunday’s issue of […]

US-EU trade war: Berlin fearful of the second round

Finally, Trump did it. He declared war against his country’s closest and more loyal allies Canada, the European Union and Mexico. In the case of the EU though, things may be more complicated than the super tariffs on steel and aluminum products of 25% and 10% respectively, imposed as from 1 June by the US […]

Trump’s trade wars: Aiming at long term gains for America

Last Friday, President Donald Trump again surprised  the world by imposing new import tariffs on Chinese products of a value of $60 billion and deferring the imposition of import super levies on European Union steel and aluminum for 1st May. In the latter case he also postponed the new tariffs for another six exporting countries […]

Trump systematically upsets global order and trade: Where does this end?

The extra import tariffs Donald Trump, the ‘America first’ President, the US is to impose on steel (25%) and aluminum (10%) imports have provoked a tsunami of reactions and widespread consequences without and even within the country. The European Commission President reacted swiftly and stated the EU is to retaliate with tariffs of an equal […]

EU car manufacturers worry about an FTA with Japan

The European Automobile Manufacturers’ Association (ACEA), had expressed reserves over the EU Council and Commission initiative to start negotiations with Japan in order the two sides to conclude a far reaching Free Trade Agreement (FTA). ACEA was founded in 1991 and represents authentically the interests of the fifteen major European car, truck and bus manufacturers […]

EU threatens Japan to suspend FTA negotiations if…

The two Presidents of the EU, José Manuel Barroso of the Commission and Herman Van Rompuy of the Council couldn’t fly yesterday to Tokyo for the EU-Japan Summit, due to the ongoing developments around the Cyprus issue. This was not enough however to impede the beginning of negotiations for the conclusion of a Free Trade […]
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