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Published on | 1 month ago
ProgrammesThe European Commission has launched an Automotive Package to support the automotive sector's transition to clean mobility by 2050. This package aims to enhance competitiveness, simplify regulations, and encourage the production of zero-emission vehicles (ZEVs) within the EU.
The Automotive Package establishes a policy framework focused on achieving climate neutrality in the automotive sector while offering manufacturers greater flexibility to meet CO2 targets. Key features include reduced compliance burdens and additional financial support measures, such as a battery booster initiative worth €1.8 billion to bolster the EU's battery production capabilities. From 2035, carmakers must reduce their tailpipe emissions by 90%, allowing certain vehicles to play a role beyond this date, while corporate vehicle initiatives are set to establish mandatory targets for Member States to enhance the market for low-emission vehicles.
To drive the uptake of zero- and low-emission vehicles, the package introduces measures like banking and borrowing of emissions allowances and super credits for affordable small electric vehicles. Furthermore, the Automotive Omnibus aims to cut administrative costs, projected to save businesses approximately €706 million annually, and strengthens the EU's competitive edge through reduced red tape and harmonised car labelling rules for consumer clarity. This effort is part of a broader strategy established in response to insights from industry stakeholders during the Strategic Dialogue launched by President von der Leyen in January 2025.
Entities interested in exploring these initiatives are encouraged to review the full Automotive Package details through the European Commission's website.
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