Vehicle industry urges EU leaders to facilitate green transition

Brussels – The European vehicle industry has urged political leaders to support the shift to sustainable mobility ahead of the Competitiveness Council meeting on 28 Nov.

The half-day meeting will see the EU industry ministers approve the Council’s conclusions on boosting European competitiveness through improving regulations and supporting industries such as battery production and biotechnology.

In a 26 Nov statement, the European Automobile Manufacturers’ Association (ACEA) warned that “the clock is ticking” on the EU’s 2050 climate neutrality goals, with manufacturers facing “mounting challenges meeting CO2 reduction targets.”

The challenges, said ACEA, stem from sluggish demand for battery electric vehicles and a deteriorating economic climate.

The association urged EU member states to “set aside differences and agree on the most time-sensitive measure – easing the 2025 compliance costs.”

According to ACEA director general Sigrid de Vries, manufacturers are currently “bearing the burden of a transformation hindered by factors beyond their control.”

Issues such as inadequate charging infrastructure and insufficient purchase incentives are among the challenges faced by the industry, said the ACEA leader.

De Vries welcomed EU leaders’ discussions on “concrete and viable options to relieve immediate and disproportionate compliance pressure.”

Proposals include multi-year compliance periods and allowing the banking and borrowing of CO2 credits across years.

“Reducing compliance costs for 2025 while keeping the green mobility transformation firmly on track is essential to ensuring the EU vehicle sector’s resilience and long-term ability to navigate the green transition,” she concluded.