EU Parliament committee backs lowering 2035 car emissions reduction target to 87.5%

The European Parliament’s environment committee has backed a proposal to lower the EU’s 2035 carbon dioxide emissions reduction target for new cars from 100% to 87.5%, while providing additional incentives for electric vehicles manufactured in the bloc. The draft rules were adopted Wednesday with 48 votes in favor, 30 against and two abstentions, according to a Parliament statement. The proposal forms part of a broader package aimed at supporting a clean and competitive European automotive industry and giving manufacturers greater flexibility in meeting emissions targets.

Under the proposed changes, carmakers would reduce fleet-wide CO2 emissions by 87.5% by 2035. Credits linked to the use of low-carbon steel produced in the EU would cover a further 7.5 percentage points to reach a 95% target. For vans, the committee proposed lowering the 2030 emissions reduction target to 35%, compared with 50% under existing rules and 40% proposed by the European Commission. The 2035 target for vans would fall from 100% to 80%, with low-carbon steel credits also available, subject to a 7.5% cap.

The draft would expand the definition of zero-emission vehicles to include cars and vans running exclusively on eligible renewable and low-carbon fuels. Small and highly efficient electric vehicles manufactured in the EU would qualify for “super credits,” allowing them to count more heavily when calculating manufacturers’ compliance with emissions targets. EU-made electric cars measuring no more than 4.2 meters would count as 1.4 vehicles, while highly efficient models would count as 1.2.

Those multipliers would rise further for vehicles registered under social leasing schemes. The proposed changes still require approval by the full Parliament, with a vote expected during its December plenary session to establish its negotiating position for talks with EU governments. Existing EU rules require a 100% reduction in CO2 emissions from new cars and vans by 2035, effectively ending sales of new conventional petrol and diesel vehicles.

The commission previously proposed lowering the 2035 target for cars to 90%.