EU auto industry calls for urgent action amid declining EV market

The European auto industry, represented by the ACEA, called on EU institutions to implement urgent relief measures as the market share for battery electric cars continues to shrink.

This plea comes ahead of new CO2 targets for cars and vans set to take effect in 2025.

The ACEA also urges the European Commission to expedite the CO2 regulation reviews for light-duty and heavy-duty vehicles, currently scheduled for 2026 and 2027, to 2025.

Despite significant investments in electrification and support for the Paris Agreement and the EU’s 2050 transport decarbonisation targets, the industry faces challenges due to inadequate charging and hydrogen refilling infrastructure, a lack of competitive manufacturing environments, and insufficient green energy and tax incentives.

The latest EU car registration data confirms a continual downward trajectory for the electric car market.

The ACEA warns that without immediate action, the industry risks multi-billion-euro fines, production cuts, job losses, and a weakened supply chain.

They emphasise the need for a comprehensive review of CO2 regulations and targeted secondary legislation to ensure the zero-emission transition stays on track and secures Europe’s industrial future.