The European Union's ambitious plan to phase out petrol and diesel cars by 2035 is facing a major setback, and it’s sparking a heated debate that could reshape the future of the automotive industry. But here's where it gets controversial: a senior Member of the European Parliament (MEP) has revealed that the EU’s outright ban on new fossil fuel vehicles is likely to be significantly softened, much to the dismay of environmental advocates. This move, expected to be announced by the European Commission in Strasbourg, threatens to undermine the EU’s flagship green deal, which was hailed as a bold step toward a carbon-neutral future just two years ago.
Under the original agreement, all new cars entering the market from 2035 were required to produce zero CO2 emissions, effectively signaling the end for both traditional petrol and diesel vehicles, as well as hybrid models. However, Manfred Weber, president of the European People’s Party group in the European Parliament, told Bild newspaper that the 2035 deadline will be relaxed next week. ‘The technology ban on combustion engines is off the table,’ he declared, adding that ‘all engines currently manufactured in Germany can continue to be produced and sold.’ This shift is seen as a win for Germany, Italy, and the majority of the car industry, which have fiercely lobbied for the inclusion of hybrid vehicles, arguing it gives European automakers more time to transition to fully electric models.
And this is the part most people miss: while this change may seem like a practical compromise, it’s not without its critics. Green politicians and even some car manufacturers, such as Volvo and Polestar, argue that delaying the phase-out of combustion engines could give Chinese competitors an even greater edge in the global EV market. Weber, however, defends the move as a necessary step to protect tens of thousands of jobs in Europe’s automotive sector, one of the continent’s economic cornerstones.
The revised plan would still require a 90% reduction in CO2 emissions for car manufacturers’ fleet targets by 2035, rather than the original 100%. This opens the door for the continued sale of plug-in hybrid vehicles, including advanced models with extended ranges and backup combustion engines for longer journeys. A European Commission spokesperson confirmed that the 2035 deadline is ‘still being discussed,’ with President Ursula von der Leyen emphasizing the need for ‘more flexibility on CO2 targets.’
Major automakers like Volkswagen, Stellantis, Renault, Mercedes-Benz, and BMW have backed the change, citing slower-than-expected consumer adoption of electric vehicles (EVs) since the 2035 target was set in 2022. Meanwhile, the EU is reportedly preparing a package of incentives to boost the production and purchase of small, European-made EVs, inspired by successful programs in Japan and Norway. For instance, Norway’s VAT and purchase tax exemptions, along with reduced road tolls, have propelled it to the forefront of EV adoption, with over 90% of new cars sold in 2025 being electric. In contrast, Southern Europe lags behind due to insufficient infrastructure and incentives, with EVs accounting for just 12% of the market in Italy as of November.
Here’s the burning question: Is this watered-down ban a pragmatic compromise to save jobs and give the industry time to adapt, or is it a dangerous step backward in the fight against climate change? And could this delay ultimately hand the EV market to China on a silver platter? Let us know your thoughts in the comments—this debate is far from over.
