16.12.2025 21:25
The European Union is preparing to ease the previously set ban on the sale of new cars with internal combustion engines by 2035, due to pressures from countries like Germany and Italy and the automotive sector. The target for car manufacturers to reduce exhaust emissions by 100% from 2035 will be updated to 90%. The remaining 10% of emissions can be offset through the use of low-carbon steel produced in Europe, e-fuels, and biofuels.
The European Commission has shared a regulatory proposal called the "automotive package," which includes changes to emission rules for new cars.
THE 2035 INTERNAL COMBUSTION ENGINE BAN IS BEING EASED
According to the package, the future carbon emission standards targeted for cars and light commercial vehicles will be revised. The goal for car manufacturers to reduce exhaust emissions by 100% starting in 2035 will be updated to 90%. The remaining 10% of emissions can be offset through the use of low-carbon steel produced in the EU, e-fuels, and biofuels.
Thus, the ban on the sale of new cars with internal combustion engines, which will be effective from 2035, will be eased. In EU countries, plug-in hybrids, range-extended vehicles, and mild hybrids with internal combustion engines will be allowed to be sold after 2035.
1.5 BILLION EURO INTEREST-FREE LOAN SUPPORT FOR THE BATTERY INDUSTRY
Additionally, the introduction of more small electric models to the European market will be encouraged. For this, car manufacturers will be able to benefit from favorable loans for small and affordable electric vehicles produced in the EU.
To support the battery industry in Europe, an interest-free loan of 1.5 billion euros will be provided to the sector. Bureaucratic processes in the sector will be reduced to alleviate the administrative burden on European car manufacturers and lower their costs. The package will come into effect after approval from EU countries and the European Parliament (EP).
ZERO EMISSION CONDITION WAS SET
The law that will impose strict carbon emission standards on new cars in line with the EU's climate goals was approved by the European Parliament in 2023. The law stipulated that all new cars and light commercial vehicles sold in EU member countries must be zero-emission starting in 2035. Particularly, EU countries with advanced car manufacturing capacities, such as Germany and Italy, were demanding a change in the target for all new cars sold within the EU to be zero-emission starting in 2035.
Major car manufacturers in Europe were also calling for more support for the sector, a reduction in the EU's carbon emission targets, the lifting of the ban on the sale of cars with internal combustion engines in 2035, and making the purchase of domestically produced electric cars attractive in European countries. Approximately 13 million people are employed in the automotive sector in Europe.