EU Engine Shift
EU eases 2035 ban on combustion engines
Brussels, Belgium / European Union /

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Last Updated
12/17/2025
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The Breakdown 20

  • The European Union is reversing its ambitious plan to ban new internal combustion engine vehicles by 2035, allowing for the sale of up to 10% non-electric cars, reflecting a shift in strategy amid industry pressure.
  • Key member states, particularly Germany and Italy, lobbied vigorously for this compromise, citing challenges within the automotive sector and the need for a more flexible approach.
  • This decision comes as major automakers like Ford grapple with declining demand for electric vehicles, forcing them to scale back flagship models and take substantial financial hits.
  • The revised proposal aims for a 90% reduction in CO2 emissions by 2035 instead of the initial 100% target, balancing environmental goals with economic realities.
  • The move has sparked mixed reactions, with environmental advocates expressing disappointment while industry stakeholders welcome the breathing room to adapt to market conditions.
  • The unfolding situation illustrates the complex interplay between climate policy and economic interests in Europe, highlighting the ongoing debate over the future of transportation and sustainability.

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Donald Trump / Labour MP / Brussels, Belgium / Germany / Italy / France / European Union / European Commission /

Further Learning

What are combustion engines?

Combustion engines are machines that convert fuel into mechanical energy through the process of combustion. In these engines, fuel (such as petrol or diesel) is ignited within a cylinder, producing gas that expands and pushes a piston. This mechanism is commonly used in vehicles, including cars, trucks, and motorcycles. Combustion engines have been the dominant technology in transportation for over a century, but they are increasingly scrutinized due to their emissions of carbon dioxide and other pollutants.

How does the EU regulate car emissions?

The European Union regulates car emissions through a series of directives and regulations aimed at reducing greenhouse gas emissions and promoting cleaner vehicles. The EU has set strict targets for CO2 emissions from new cars, with the goal of achieving significant reductions by 2035. Recent proposals indicate a shift from a complete ban on combustion engines to allowing a limited percentage of non-electric vehicles, reflecting industry pressure and economic considerations.

What led to the EU's change in policy?

The EU's change in policy regarding the ban on combustion engines resulted from intense lobbying by the automotive industry and specific member states, particularly Germany and Italy. These countries argued that the ban could harm their automotive sectors, which are vital to their economies. As electric vehicle (EV) adoption has been slower than anticipated, the EU decided to allow some flexibility in emissions regulations, permitting a limited number of combustion-engine vehicles to continue being sold.

What impact will this have on EV sales?

The EU's decision to ease the ban on combustion engines may slow the momentum of electric vehicle (EV) sales. By allowing a limited number of non-electric vehicles to be sold, consumers might opt for traditional combustion engines instead of transitioning to EVs. This could hinder the EU's overall goals for reducing emissions and achieving climate targets. However, it may also provide car manufacturers with the flexibility needed to adapt to market demands, potentially leading to a more gradual transition to EVs.

How do EU countries differ in automotive policies?

EU countries exhibit varying automotive policies based on their economic interests, industrial strengths, and environmental priorities. For example, Germany, with its strong automotive sector, has been more resistant to stringent regulations that could threaten jobs. In contrast, countries prioritizing environmental sustainability, like Sweden and Denmark, advocate for stricter emission reductions and faster adoption of EVs. This divergence can lead to tensions within the EU as member states negotiate common policies.

What are the environmental implications of this change?

The easing of the ban on combustion engines could have significant environmental implications. Allowing a limited number of petrol and diesel vehicles to remain on the market may result in higher greenhouse gas emissions than initially planned. This could slow progress toward the EU's climate goals, particularly in reducing overall emissions from the transportation sector, which is a major contributor to climate change. It raises concerns about the EU's commitment to sustainability and its ability to meet international climate agreements.

What role do automakers play in EU regulations?

Automakers play a crucial role in shaping EU regulations through lobbying efforts and industry advocacy. They influence policy decisions by presenting economic arguments, such as the potential impact on jobs and market viability. The automotive industry has significant political leverage, especially in countries with a strong manufacturing base. Their concerns about the feasibility of transitioning to electric vehicles and the pace of change often lead to negotiations that result in more flexible regulations.

How does this compare to other global emissions laws?

The EU's approach to regulating emissions is more stringent than that of many other regions, but the recent relaxation of the combustion engine ban reflects a trend seen in other countries. For instance, in the United States, regulations vary significantly by state, with some states pushing for aggressive emissions reductions while others are more lenient. In contrast, countries like China are rapidly promoting EV adoption through subsidies and stricter regulations, highlighting differing global strategies toward achieving sustainability in the automotive sector.

What are low-carbon alternatives to combustion engines?

Low-carbon alternatives to combustion engines include electric vehicles (EVs), hydrogen fuel cell vehicles, and hybrids that combine internal combustion with electric power. EVs are powered entirely by electricity, reducing direct emissions. Hydrogen fuel cells generate electricity through a chemical reaction between hydrogen and oxygen, producing only water vapor as a byproduct. Hybrids use both an internal combustion engine and an electric motor, offering improved fuel efficiency and lower emissions compared to traditional vehicles.

How have consumer preferences shifted in recent years?

Consumer preferences have shifted significantly towards more environmentally friendly vehicles in recent years, driven by growing awareness of climate change and government incentives for electric vehicles. Many consumers now prioritize fuel efficiency, lower emissions, and sustainable technologies when purchasing cars. However, concerns about the availability of charging infrastructure, range anxiety, and the upfront costs of EVs still influence purchasing decisions. This evolving landscape reflects a complex interplay between environmental concerns and practical considerations.

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