Germany Calls for EU to Reconsider Ban on Combustion Engines

The Debate Over the European Union’s Plan to Ban Combustion-Engine Cars by 2035

Many automakers, with the exception of Volvo and Polestar, are pushing back against the European Union’s proposal to prohibit the sale of new combustion-engine vehicles from 2035. While the legislation doesn’t explicitly ban internal combustion engines (ICEs), it mandates that vehicles must emit zero emissions, effectively phasing out traditional engines. The industry is hopeful that alternative technologies like hydrogen-burning engines and synthetic fuels could potentially disrupt this timeline.

One of the leading voices against the proposed ban is BMW, which has raised concerns about the potential collapse of Europe’s automotive sector if the cutoff date is enforced. The company warns that tens of thousands of employees could face job losses if the ban is implemented as planned. BMW also questions the readiness of markets to fully transition to electric vehicles by 2035.

The demand for electric cars in Europe is still uneven due to factors such as a lack of charging infrastructure and higher prices compared to gasoline models. German Chancellor Friedrich Merz has aligned himself with BMW and other manufacturers in opposition to the 2035 ban on ICE vehicles.

In a letter to European Commission President Ursula von der Leyen, Merz, obtained by Bloomberg, called for a revision of the legislation to allow plug-in hybrids to be sold beyond the mid-2030s. He also advocates for the continued availability of “highly efficient” combustion vehicles post-2035.

Merz also argues for the exemption of range-extending gas engines, a technology that uses an ICE as a generator to charge a battery while electric motors propel the vehicle. BMW has previously utilized this technology in the i3 and is considering reintroducing it in their larger SUVs.

According to Bloomberg, Merz emphasizes the need for a technology-neutral and flexible approach to CO2 regulation that aligns with the EU’s climate goals without stifling innovation and industrial progress. He also supports the use of synthetic and renewable fuels to reduce emissions from existing vehicles, with BMW actively promoting alternative fuels like hydrotreated vegetable oil (HVO100) and eFuel.

As the debate unfolds, clarity is crucial for automakers as they plan for the future. Developing new products takes time, and uncertainty about the regulatory landscape post-2035 can significantly impact a company’s product strategy. The industry requires at least four years to bring a new model to market, highlighting the urgency for clear guidelines on the future of combustion-engine vehicles in the EU.

Source: Bloomberg