France and Germany Propose Softening EU Car Emission Targets
France and Germany are negotiating a deal to lower 2035 EU car emission targets and potentially grant Britain 'Made in Europe' status.
The governments of France and Germany are nearing a provisional agreement to soften European Union CO2 emission targets for cars by 2035. The proposal suggests a reduction target of 90% from 2021 levels, removing the requirement for additional compensatory measures—such as alternative fuels and low-carbon steel—that the European Commission originally proposed to achieve a 100% reduction.
The deal also proposes expanding 'Made in Europe' status for the automotive sector to include partners that were part of the EU internal market on January 1, 2020. This change would allow Britain to regain the status, provided the UK ensures full reciprocity and aligns with EU trade protection measures. Such alignment would likely require Britain to limit imports of hybrid and electric vehicles built in China.
The plan currently requires further approval from the European Parliament and other EU member states before it can enter into force.
