(de-news.net) – The European Union’s recent decision to ease fleet‑wide CO₂ restrictions for newly manufactured cars has been welcomed by Federal Chancellor Friedrich Merz. He interpreted the measure as a significant departure from the previously announced prohibition on combustion engines. In his view, the Commission had responded to a clear signal issued by Berlin by opening regulatory space within the automotive sector. Merz emphasized that reconciling climate objectives with economic realities, corporate viability, and employment security required a greater degree of technological openness as well as enhanced regulatory flexibility. He insisted that forthcoming rules must avoid unnecessary complexity and pledged that the Commission’s extensive proposals would be subjected to careful scrutiny. Particular reservations were expressed regarding company car fleets, where binding quotas for specific vehicle categories were rejected on the grounds that such requirements could impose disproportionate burdens on Germany’s small and medium‑sized enterprises.
Earlier today, the Commission had retreated from the prospect of an outright ban on combustion engines. The initiative was widely interpreted as a response to mounting pressure from several member governments — Germany foremost — as well as from the automotive industry.
Under the revised framework, manufacturers from 2035 onward would be obliged to reduce emissions by 90 percent compared with 2021 levels, rather than achieving complete elimination. The remaining 10 percent could be offset through the use of biofuels, synthetic fuels, or low‑carbon steel produced within the European Union. This adjustment would permit plug‑in hybrids, range‑extender models, mild hybrids, and conventional combustion vehicles to remain available on the market alongside battery‑electric and hydrogen cars. Additional measures included lowering the 2030 CO₂ reduction target for vans from 50 to 40 percent and introducing more flexible standards for heavy trucks. Furthermore, eligibility for public subsidies would be tied to the incorporation of EU‑made low‑carbon technologies, while member states would be required to establish binding targets for corporate fleets in order to accelerate the adoption of low‑ and zero‑emission vehicles.
Despite the expectation that the Commission would soften its stance, the German automotive association VDA expressed dissatisfaction. Under the existing legislation, new cars would have been required to eliminate CO₂ emissions entirely by 2035. The revised plan, however, permits a residual share of emissions provided they are offset by environmentally beneficial fuels and materials. Hybrid vehicles equipped with auxiliary combustion engines would therefore remain permissible. The Commission also proposed a more lenient interim objective for 2030, allowing manufacturers a two‑year period to compensate for missed targets before financial penalties are imposed.
Environment Minister Schneider (SPD) described the draft as a pragmatic compromise attentive to the concerns of trade unions, while Merz endorsed it as a step toward integrating climate policy with economic and labor considerations. In sharp contrast, Green parliamentary leader Dröge condemned the proposals as a profound economic and environmental misjudgment, warning that they would undermine investment and render European climate targets increasingly unattainable. Party chairman Banaszak added that the Commission, under German influence, had produced what he characterized as an unwieldy bureaucratic construct.
