Following lobbying from Germany, Italy and some auto industry associations, the European Union is expected to relax its ban on the sale of new fuel vehicles starting in 2035 on Tuesday. Recently, many media have reported on this proposed policy relaxation plan. Manfred Weber, a senior member of the European Parliament, told German newspaper Bild late last week that the strength of the ban would be weakened.
The EU's ban on the sale of new diesel and petrol cars, including vans, from 2035 was seen as a landmark move in the EU's core Green New Deal when it was approved in 2023. The policy aims to achieve zero CO2 emissions from passenger cars and vans by 2035.
Relaxing this policy will provide greater flexibility to European domestic vehicle manufacturers. These manufacturers are currently facing U.S. tariff pressure, supply chain disruptions, fierce competition from Chinese auto companies, and numerous obstacles in the transition to electric vehicles.
Analysts have questioned whether the move will enhance the region's long-term competitiveness, while environmentalists have criticized it as another potential step back from the EU's climate goals.
A spokesman for the European Commission, the EU's executive agency, declined to comment in an interview with the US Consumer News and Business Channel (CNBC). A related press conference is scheduled to be held on Tuesday afternoon.
On November 12, 2025, in Brussels, Belgium, European Commission President Ursula von der Leyen delivered a speech at the European Parliament on the new multi-annual fiscal framework for 2028-2034.
In recent months, this policy has once again become the focus of public opinion. Some automotive industry associations have called for a readjustment of the sales ban to enhance Europe's industrial competitiveness, ensure the strategic resilience of the supply chain, and maintain climate goals.
"There is an urgent need for more flexibility in policy," said Sigrid de Vries, director general of the European Automobile Manufacturers Association, a lobby group for the auto industry.
De Vries posted on LinkedIn on Monday: "2030 is just around the corner. With current market demand sluggish, car companies face the risk of billions of euros in fines." She called the widely expected EU policy statement "the decisive moment for the automotive policy bill."
She also added that it will take time to build the necessary charging infrastructure, introduce financial incentives and car purchase subsidy policies to push the market back on track.
The European Automobile Manufacturers Association represents 16 major European car companies, including brands such as Volkswagen, BMW, Ferrari and Renault.
'A high-risk strategy'
However, some electric vehicle manufacturers called on the EU to "stick to the 2035 target and introduce stronger supporting measures."
In mid-September last year, more than 150 leading figures in the European electric vehicle industry jointly issued an open letter stating that the introduction of the goal of banning the sale of fuel vehicles in 2035 has mobilized hundreds of billions of euros in new investment.
Signatories of the open letter include electric vehicle manufacturers such as Volvo and Polestar, as well as related material suppliers, battery manufacturers and grid operators.
Rico Luman, ING's senior industry economist in charge of transportation and logistics, said in an email interview with CNBC that the EU's relaxation of the ban on the sale of fuel vehicles in 2035 is "a choice focused on short-term interests" when the industry faces difficulties.
He also said: "But in my view, simply delaying policy goals is also a high-risk strategy."
"This is not conducive to the long-term development of the European automobile industry, nor can it save jobs: Change has already arrived, and the so-called competitive advantages of German (and even European) car companies in the field of fuel vehicles are destined to be short-lived. If the pace of industry transformation slows down, it will be more difficult for European car companies to keep up with Chinese competitors."