Proposed weakening of 2025 CO2 targets risks delaying Europe’s EV transition

Berlin, 3 March. Today, the European Commission announced a weakening of the European Union’s 2025 CO₂ emission targets for car manufacturers in Europe. As part of the ongoing Strategic Dialogue on the future of the automotive industry, the Commission has proposed a compliance flexibility mechanism through three-year averaging. 

The compliance deadline will be extended from 2025 to 2027, allowing manufacturers to offset higher emissions in earlier years by over-complying later. However, this modification is expected to reduce the benefit of the EU CO₂ performance targets by half, resulting in average CO₂ emission levels of new cars that are up to 5 grams per kilometer higher than under the current target schedule. Accumulated excess emissions over the 2025–2030 time period are estimated to be in the order of up to 50 megatonnes, resulting from more combustion engine cars on the road for a longer period of time. In practice, the averaging leads to a de facto relaxation of the 2025 target. 

This last-minute weakening of climate targets will influence manufacturers’ market strategies in the initial years and likely will delay the availability of affordable electric cars for consumers. Additionally, it will affect the reliability of 2025 vehicle market data, which serves as a basis for the mid-term review of the European Union’s regulation CO₂ standards for cars and vans, expected in 2026. 

ICCT Europe Director Peter Mock expresses concern over the impact on the competitiveness of the European automotive industry. 

“The ad-hoc relaxation of targets creates uncertainty among industry stakeholders and sends a negative signal to consumers. January sales figures showed promising growth in the electric car market across Europe, like a runner gaining momentum in a race. But the proposed mechanism risks tripping them up just as the market is accelerating. Implementing this measure will leave the European car industry with a weaker regulatory framework, impacting its global competitiveness.” 

END 

For editors, you can find more information on EU CO₂ targets and market updates on our latest European market monitor and public comments.

Media contact 

Susana Irles
communications@theicct.org

About the International Council on Clean Transportation (ICCT) 

The International Council on Clean Transportation (ICCT) is an independent nonprofit research organization founded to provide exceptional, objective, timely research and technical and scientific analysis to environmental regulators. Our work empowers policymakers and others worldwide to improve the environmental performance of road, marine, and air transportation to benefit public health and mitigate climate change. We began collaborating and working as a group of like-minded policymakers and technical experts, formalizing our status as a mission-driven non-governmental organization in 2005. 

Find us at:
www.theicct.org
Bluesky | LinkedIn | YouTube
Keep up with our research by signing up for our newsletters.