MEPs debated, at their plenary session in Strasbourg on Tuesday 8 October, the crisis in the EU automotive industry, exacerbated by threats of plant closures. For the right side of the Chamber, there is a desire to return to the ‘Green Deal’ climate targets for the sector.
According to the texts adopted at the beginning of 2023 (see EUROPE 13053/1, 13155/10), new vehicles will have to emit an average of 94 grams of CO2/km from 2025, compared with 116 g/km in 2024, before achieving a 100% reduction in CO2 emissions from new cars and light commercial vehicles in 2035, i.e. the total cessation of production of combustion engines.
Several MEPs from the EPP, PfE, ECR and ESN defended the modification of the 2035 target for the end of combustion engines and the intermediate emission reduction targets (see EUROPE 13151/5). “Unfortunately, we don’t have the necessary infrastructure for electric vehicles”, stressed Jens Gieseke (EPP, German). He added that the EU must do all it can to ensure that manufacturers do not have to pay fines if they fail to meet the targets.
The two Czech MEPs from the ECR Group, Ondřej Krutílek and Alexandr Vondra, said they had sent a letter to the President of the Commission, Ursula von der Leyen, about the CO2 emissions regulation. “We are deeply concerned by the threat of multi-billion euro fines for vehicle manufacturers who fail to comply with a set of rules next year, as well as by the target of 2035, which will effectively mark the end of the combustion engine car industry in Europe”, said Mr Krutílek at the press conference following the debate.
Along with 112 other elected representatives from 23 Member States and five political groups (EPP, Renew Europe, ECR, PfE, and ESN), they are calling on the Commission “to take urgent action and propose a revision of the regulation as soon as possible, and not in 2026 as planned”. According to Mr Krutílek, the Member States will be taking a similar initiative.
To read the letter: https://aeur.eu/f/dsc
Industrial policy. On the side of the groups that do not want to call into question the 2025 and 2035 targets, a consensus is forming on the need for an industrial policy to save the sector. “We need a renewed strategy for the automotive sector in the first 100 days of the new Commission”, said Christophe Grudler (Renew Europe, French). For him, this strategy includes a fair transition fund, financial incentives, a favourable tax system for electricity and robust infrastructure.
To his left, the MEPs defend the idea of supporting production on the continent, including through public investment, but not exclusively. Mohammed Chahim (S&D, Dutch) claimed that the EU can ensure quality jobs, support the local economy and reduce dependency by encouraging joint undertakings in batteries.
His colleague, Gabriele Bischoff (S&D, Germany), explained that she had taken part in a parliamentary mission last week to the Audi production site in Brussels, which is threatened with closure, where she met workers and trade unions. “The last thing they said to us was that we should especially not go backwards. They stressed the importance of investment”.
Anna Cavazzini (Greens/EFA, German), for her part, said that the emphasis should be on helping consumers to buy electric vehicles. In her view, this can be achieved through social leasing.
Chinese competition. In the case of subsidised Chinese electric vehicles, there is less consensus among the Liberals and the Left. While the Greens/EFA are unanimous on the importance of additional customs duties on Chinese electric vehicles, the Renew Europe and S&D Groups see some of their members opposing these tariffs (see EUROPE 13493/3, 13497/1).
China’s response to European measures is one of the main reasons for this. Beijing has launched a number of investigations into European agri-food products and has just announced provisional anti-dumping tariffs on wines and spirits from the EU (see other news).
Benoit Cassart MEP (Renew Europe, Belgian) expressed the fears of the European agricultural sector and called for compensatory measures to support it in the face of these Chinese actions. His German colleague in the same group, Jan-Christoph Oetjen, expressed doubts about the relevance of tariffs as a solution for supporting European industry.
On the other hand, the French members of the same group, Marie-Pierre Vedrenne and Christophe Grudler, strongly supported the Commission’s decision to impose tariffs on Chinese electric vehicles. (Original version in French by Léa Marchal and Anne Damiani)