ChargeUp Europe, along with AVERE, Eurelectric, and EuropeOn, directly addresses designated European Union commissioners, including Teresa Ribera and Wopke Hoekstra.
The concern about the potential relaxation of CO₂ emission reduction targets drives a conversation aimed at maintaining a firm stance on established regulations.
The central statement in the ChargeUp’s letter is clear:
“Any action to weaken or remove Europe’s demand signals for 2025, 2030, and 2035 would be devastating for our businesses.”
It continues: “Our competitors will keep moving forward in electrification, whether we keep pace or not.”
This warning is issued in a context where various European governments, led by France, are forming a bloc to prevent sanctions against car manufacturers who fail to meet the 2025 targets.
French Economy Minister Antoine Armand explained that “manufacturers committed to vehicle electrification should not have to pay fines.”
The French are seeking support within the 27 EU member states—but will they succeed?
Representatives from Eastern Europe, such as Romania, Italy, and the Czech Republic, have already confirmed their backing and highlight the need to review these targets in the short term.
“You have the crucial responsibility of maintaining the 2035 framework as the foundation for the growth of this ecosystem,” the letter states.
“Your Clean Industrial Agreement should be based on this foundation to help our industries compete against China and the United States, who have so far better equipped their companies for success,” it adds ChargeUp.
Effects of sanctions on the automotive sector
The EU regulation, known as CAFE (Corporate Average Fuel Economy), requires car manufacturers to reduce the average emissions of their fleets by 15% by January 2025, compared to 2020 levels.
This target puts significant pressure on companies, as it means each manufacturer must sell one electric car for every four combustion vehicles over the coming months to meet these goals.
The primary impact is financial.
If manufacturers fail to meet these sales targets, they will face economic sanctions, estimated to total between ten and 16 billion euros for the entire industry.
These fines apply based on the excess average emissions of each fleet, with a cost of 95 euros per gram of CO₂ exceeded per vehicle sold.
Some studies reduce this figure to a possible 5.1 billion euros scenario, though it remains a substantial financial burden.
Additionally, product strategy adjustments must be reviewed.
For example, Volkswagen accelerated its shift towards electric vehicles but faces challenges in markets where demand for these models remains low.
The situation is especially challenging in countries where charging infrastructure is limited and the adoption of electric vehicles is slower.
Italy and Romania, for instance, have shown resistance to the EU’s emission targets because their markets still rely on combustion engines and lack adequate incentives for electrification.
Despite all this, a recent McKinsey study concluded that Europe could still unlock 300 billion euros in added value through the transition to electric vehicles.
“If we let others take control of this transition, 25% of Europe’s automotive added value is at risk,” ChargeUp emphasises in its letter to MPs.
Reactions from the EU Transport Commissioner
During his confirmation hearing, the candidate for EU Transport Commissioner, Apostolos Tzitzikostas, expressed support for the European Green Deal and the need to assist the automotive industry without weakening the imposed targets.
However, according to Transport & Environment (T&E), Tzitzikostas “lacked details on how he will advance the electrification of corporate fleets.”
This remains a key issue for encouraging demand for electric vehicles and providing clarity for manufacturers.
At this stage, it is important to consider that the European Commission’s decision could define the future of electric mobility in Europe, forcing MPs to find a balance between electrification regulations and automotive market realities.
