EU extends deadline for car emissions to 2027 amid pressure
On Thursday, the European Parliament in Strasbourg endorsed changes in voting regarding EU carbon dioxide emission standards, aiming to improve the situation for car manufacturers. This move is in response to competitive pressure in the sector from China and the USA.
In April, the European Commission proposed granting passenger car and van manufacturers three years, instead of one, to meet EU CO2 reduction targets.
This extension would help manufacturers avoid penalties in 2025 for not meeting the targets. According to some estimates from automotive corporations, the penalties could total up to 15 billion euros (17 billion dollars).
The EU is gradually lowering CO2 emission limits for the automotive sector. Currently, at least one-fifth of sales for most automotive companies must be electric vehicles. Otherwise, manufacturers face fines. Thanks to the proposed change, they will have until 2027 to comply with the emission limits.
International pressure
The EC's proposals are a response to increasing pressure from Chinese and American electric car manufacturers. Their implementation requires approval by the governments of EU states within the EU Council and by the European Parliament.
On Thursday, the European Parliament supported the EC proposal with 458 votes in favor, 101 against, and 14 abstentions.
