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Date: April 1, 2025
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By Mobility Portal
European Union

ACEA backs CO2 target delay until 2027 but more measures needed: What does it suggest?

While welcoming the European Commission’s proposal to ease annual compliance deadlines, ACEA stresses the urgent need for stronger EV incentives and widespread charging infrastructure.
ACEA’s Director General, Sigrid de Vries
ACEA’s Director General, Sigrid de Vries

The European Automobile Manufacturers’ Association (ACEA) stated on Tuesday that, although the European Commission’s proposal to postpone the annual CO2 reduction targets until 2027 “provides some relief”, further action is needed to address the weak demand for battery electric vehicles (BEVs), according to a press release issued by the association.

ACEA argues that the publication of the amendment regarding CO2 emission compliance targets for cars and vans marks “the first significant outcome of the Strategic Dialogue on the Future of the Automotive Industry”.

“The proposal for a three-year average is a step in the right direction, as it aligns decarbonisation goals with real-world market and geopolitical challenges,” the industry body explains.

In addition, the association notes that this proposal from Brussels offers much-needed flexibility for car and van manufacturers, but emphasises that this must be complemented by meaningful demand-side incentives and a widespread rollout of charging infrastructure in order to overcome fundamental transformation barriers.

“As the latest market data shows, demand for zero-emission vehicles is still far from where it needs to be, with battery electric vehicles holding just a 15% market share,” ACEA warns.

Therefore, the association urges the European Parliament and the Council to ensure swift adoption of the amendment.

ACEA’s Director General, Sigrid de Vries, states: “The next important step is to thoroughly assess the overall progress of the transformation, focusing on refining the approach — not the end goal — when necessary.”

De Vries also underscores the importance of this approach for the commercial vehicle sector: “Since zero-emission’ trucks account for just 2% of new registrations, this vehicle segment urgently needs an accelerated revision of its CO2 standards by 2025, based on a review of the sector’s enabling conditions.”

Background

On Tuesday, the European Commission proposed extending the deadline for car manufacturers to meet their annual CO2 emission reduction targets to 2027, granting the sector more time to comply with established goals before facing heavy penalties for non-compliance.

This amendment, which still requires approval from the Parliament and the Council, would allow manufacturers’ compliance with CO2 targets for 2025, 2026 and 2027 to be assessed over the entire three-year period instead of annually.

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