In January, the European Commission initiated a dialogue on the future of the automotive industry, chaired by President Ursula von der Leyen.
The goal is to address the sector’s critical challenges while ensuring it remains a key driver of European economies.
In other words, this initiative seeks to find a balance between vehicle manufacturers and the necessary decarbonisation of mobility in Europe, reducing the highly probable fines that brands may face for exceeding binding CO₂ emission targets for 2030.
This dialogue will conclude on March 5 with the presentation of the Automotive Industrial Action Plan, which may include what could be called the “Fleet Electrification Law” as a key pillar for mass electric vehicle (EV) adoption.
This law could require large companies to transition their vehicle fleets to electric models.
Two Million EVs by 2030
According to a study by the environmental group Transport & Environment (T&E), this regulation could generate demand for over two million EVs manufactured in Europe by 2030.
In fact, T&E urges the EU to mandate that all companies with fleets of over 100 vehicles purchase only electric cars from 2030 onwards.
For manufacturers such as Stellantis and BMW, the electrification of corporate fleets would account for 54% and 58% of the sales needed, respectively, to comply with binding CO₂ emission targets and avoid penalties.
Moreover, these mandatory fleet electrification targets would primarily benefit European automakers, as 62% of their sales come from corporate channels, compared to only 49% for non-European manufacturers.
Currently, European companies are electrifying their fleets at a similar or even slower pace than private households (14.3% vs. 13.6%), a trend that is particularly concerning in the two largest markets, Germany and France.
Impact on the Used EV Market
According to the report, this measure would not only benefit EU automakers but also have a positive impact on the second-hand EV market.
By accelerating fleet electrification, nearly seven million affordable used electric cars could enter the market for private buyers—a crucial factor considering that nearly eight out of ten EU citizens purchase their vehicles second-hand.
