European automakers are calling on the European Union to provide urgent support to meet the tougher CO2 emissions standards set to take effect in 2025.
Sales are Falling
The Association of European Automobile Manufacturers (ACEA) warned that the industry is struggling to comply, particularly due to declining electric vehicle (EV) sales.
While automakers have met current emissions targets through electric vehicle adoption and improved internal combustion engines, falling EV sales since late 2023 have made compliance with future standards more challenging.
EVs accounted for just 12.6% of European car sales over the last year, down from 13.6% the previous year.
Automakers argue that insufficient infrastructure, such as EV charging stations and hydrogen distribution networks, is hindering the shift to zero-emission vehicles.
Reduced Vehicle Production
They also cite a lack of affordable green energy, competitive production environments, and reliable access to raw materials as barriers to progress. Without additional support, they face billions in fines that could otherwise be used to invest in the transition to carbon neutrality.
ACEA has requested that the EU accelerate its planned review of emissions regulations, currently scheduled for 2026 and 2027. They warn that failing to adapt could lead to reduced vehicle production, job losses, and weakened European supply chains.
However, not all automakers share this view. Stellantis, Europe’s second-largest automaker, supports the current timeline, stating, “Everyone has known the rules for a long time, and now we’re in the race.”