On Thursday, the European Parliament adopted a targeted change to CO2 emission performance standards for new cars and vans. The decision was made with 458 votes in favor, 101 against, and 14 abstentions. This move supports the Commission’s proposal aimed at aiding Europe’s automotive sector amid rapid technological changes and growing competition.
The proposed change allows manufacturers to meet their obligations for the years 2025, 2026, and 2027 by averaging their performance over this three-year period instead of each individual year. This approach enables them to offset any excess annual emissions by exceeding targets in subsequent years.
Current regulations set annual targets over five-year periods for reducing average CO2 emissions from new cars and vans across the EU fleet. Starting in 2025, an annual CO2 emission reduction target of 15% compared to 2021 values will be applied for the period from 2025 to 2029.
To expedite its adoption, Parliament agreed on Tuesday to handle the file under its urgent procedure. For it to take effect, the draft law now requires formal approval by the Council, which endorsed the same text on May 7, 2025.
This proposal is part of the Commission’s industrial action plan for Europe’s automotive sector announced on March 5, 2025. It followed a strategic dialogue on the future of the automotive industry initiated by Commission President Ursula von der Leyen on January 30, 2025. This involved public consultation and discussions with industry stakeholders addressing key challenges facing the sector.
