Automotive industry leaders in Germany urgegovernment to repeal ban on sales of vehicles fueled by combustion engines
The car industry association VDA in Germany has called for a de facto reversal of the EU's 2035 ban on the sale of new cars powered by a combustion engine, sparking a political debate over the future of the automotive sector in Europe.
According to reports, the VDA's plans could result in avoidable emissions of 500 to 1,400 million tonnes of CO2 emissions. This concern is shared by environmental think tank Agora Verkehrswende, which warns that the adoption of the VDA's draft proposals could lead to a considerable slowdown in the electrification process.
The VDA argues that fleet limits should be adjusted so the development and production of combustion engines, in which Europe is a technological leader, could be kept in Europe. They propose a 90% reduction in emissions from new cars by 2035, rather than zero emissions as planned.
The European Parliament's centre-right European People's Party (EPP), to which Merz's conservatives belong, have also pushed to reverse the ban. Chancellor Friedrich Merz's conservatives had initially called for a reversal of the ban before the federal election in Germany, but it did not make it into the coalition agreement with the Social Democrats (SPD).
However, opposition to the ban is not limited to the conservatives. The Social Democrats (SPD) have signalled they would resist the adoption of the VDA's position by the government. The leader of energy industry lobby group BDEW, Kerstin Andreae, states that Germany's EV charging infrastructure is well developed, but the transport sector urgently needs effective incentives to reduce CO2 emissions.
Tiemo Wölken, the party's environmental policy spokesperson in the EU Parliament, stated that the proposals in the VDA paper would take away any planning and investment security for companies. This sentiment is echoed by environmental group Transport & Environment, which warns of the potential harm to the EU's climate goals if the ban is relaxed.
The additional emissions could be compensated by more ambitious targets for renewable fuels, as per the statement of the head of the VDA lobby group, Hildegard Mueller. The VDA comprises not only Germany's carmaking groups VW, Mercedes, and BMW, but also many companies from the country's large supplier industry, many of which specialize in combustion engine technology.
The German government has announced a measure to allow tax write-offs for new company EVs of up to 75% of the purchasing price, as part of a broader policy package to revive economic growth and make progress in the sluggish roll-out of electric cars.
The ongoing debate reflects a broader political tension; while the EU remains committed to the 2035 ban, German conservatives and industry associations are pushing back, citing market realities and technological dependencies. The EU Commission retains its commitment to the 2035 deadline, but the future of the combustion engine in Europe remains uncertain.
Sports organizations might express concerns about the proposed delay in transitioning to electric vehicles, as the increased emissions could have a significant impact on air quality and the health of athletes. The potential relaxation of the EU's 2035 ban on the sale of new combustion engine cars could stall the progress towards a cleaner automotive sector, which may be detrimental to sports, as they prioritize environmental sustainability.