According to Bloomberg, Volvo Cars, Rivian, Uber Technologies Inc., as well as IKEA of Sweden AB and Spain's Iberdrola SA, among 50 other companies, have urged the European Union to stick to its plan to ban the sale of new fuel vehicles starting in 2035. They assert that the automotive industry needs clear policies to invest and strive to meet the EU's goals.
Volvo Cars CEO Jim Rowan stated, "Electrification is the biggest action the automotive industry can take to reduce its carbon footprint. Setting the EU's 2035 carbon emission targets is crucial to align all stakeholders and ensure the competitiveness of electric vehicles in Europe."
In recent months, the EU's carbon emission targets have come under fire as sales of cars, particularly electric vehicles, have slowed. Recently, the Volkswagen Group considered closing its factories in Germany for the first time, and Volvo Cars has also abandoned its goal of selling only electric vehicles by 2030. However, automotive industry lobbyists warn that failure to meet the carbon reduction targets for 2025 could result in billions of euros in fines for manufacturers.
Over the past 30 years, only the transportation sector in Europe has seen an increase in carbon emissions. If the EU is to achieve a 55% reduction in carbon emissions by 2030 and net-zero emissions by 2050, it must rapidly reduce carbon emissions in the transportation sector.
Supporters of the EU's 2035 ban on fuel vehicles argue that the EU is lagging behind China in the production of electric vehicles, especially those aimed at the mass market, and must catch up. They believe that European automakers are transitioning to new technologies like electric vehicles too slowly and continue to rely on sales of traditional vehicles.
Meanwhile, Italy has intensified pressure on the EU, calling for a reevaluation of carbon emission targets. This month, Italian Prime Minister Giorgia Meloni sharply criticized the EU's regulation banning the sale of internal combustion engine vehicles after 2035, describing it as a "self-destructive" policy, and vowed to urge the EU to "correct this choice." Italy hopes to advance the scheduled review originally set for 2026 to early next year and seek exemptions for biofuels.
However, some large European automakers, including the Volkswagen Group, BMW Group, and Stellantis, have remained silent on the EU's fuel vehicle ban.
