EU Parliament Approves Rule Requiring All New Cars to be Zero Emission by 2035

According to proposed rules approved by the European Parliament, all new passenger cars and light commercial vehicles registered in the EU will be required to have zero emissions by 2035.

The legislation is a key component of the European Commission’s “Fit for 55” roadmap, the EU initiative to reduce greenhouse gas (GHG) emissions by 55% by 2030 compared to 1990.

In addition to the 2035 target, the proposed legislation includes interim targets requiring a 55% reduction in CO2 emissions for new cars and 50% reduction in CO2 emissions for new vans by 2030, compared to 2021 levels.

Other key measures foreseen by the regulation include developing a common EU methodology by 2025 for assessing the full life cycle of CO2 emissions from cars and vans, monitoring by the Commission of the gap between emissions limits and real-world data by 2026 with appropriate follow-up measures, and the publication of an evaluation of progress towards zero-emission road mobility every two years beginning in 2025.

The current zero- and low-emission vehicles (ZLEV) incentive mechanism rewards manufacturers with less stringent CO2 targets if they meet specific benchmarks for sales of zero- and low-emission vehicles. From 2025 to 2029, the ZLEV benchmark is set at 25% for the sales of new cars and 17% for new vans; as of 2030, the incentive will be removed. The legislation will be forwarded to the EU Council for formal adoption.

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