In a significant policy reversal, the European Commission has proposed diluting its landmark 2035 ban on the sale of new petrol and diesel cars. This move, seen as a major retreat from the bloc's climate ambitions, follows intense lobbying from German and Italian car manufacturers and sends a worrying signal about Europe's commitment to a net-zero future.
A Collective Loss of Nerve in Brussels
Just two years ago, the European Union's adoption of the 2035 deadline was hailed as a definitive act of global environmental leadership. The decision by the home of automotive giants like BMW, Renault, and Fiat to phase out the internal combustion engine was a powerful symbolic moment. Now, the Commission, led by President Ursula von der Leyen, appears to have lost its nerve.
EU Industry Commissioner Stéphane Séjourné framed the U-turn as a necessary "lifeline" for an industry struggling with Chinese competition and the fallout from Donald Trump's trade wars. However, critics view it as a capitulation to short-term economic pressures and a dangerous step back from the EU's Green Deal, which Ms von der Leyen once championed as a growth strategy.
Short-Term Relief, Long-Term Risk
The policy inconsistency creates uncertainty for investors and manufacturers alike. As Spanish Prime Minister Pedro Sánchez has argued, for Europe to remain a global automotive powerhouse, it must accelerate its transition, not hit the brakes. Meddling with the 2035 deadline may offer temporary relief but risks locking manufacturers into outdated technology.
Europe is already lagging behind state-subsidised Chinese electric vehicle (EV) makers like BYD, which continue to gain market share despite EU tariffs. Rather than weakening clear targets, the bloc should focus on boosting consumer demand through better fiscal incentives and charging infrastructure, while creating a fairer competitive landscape for its own companies.
A Broader Climate Leadership Failure
This backtracking occurs at a precarious time. With a potential Trump administration abandoning climate responsibilities and far-right, net-zero-sceptic parties gaining influence in Europe, the EU's wavering on a totemic policy is ominous. Road transport accounts for roughly one-fifth of EU greenhouse gas emissions, with cars responsible for over 60% of that. The 2035 ban was a cornerstone of the EU's legally binding 2050 net-zero target.
This week's proposal is more than a regulatory tweak; it is a signal of diminished ambition. It stores up greater environmental and economic problems for the future, undermining the very growth and modernisation the Green Deal promised. For the planet and for the long-term health of Europe's car industry, going slow is a road to nowhere.
