European manufacturers celebrate advances in electric vehicles but reject ban on engines

2025-10-20 12:07:51

SourceCryptopolitan

Sep 9, 2025 08:30

European automotive chiefs arrived in Munich with a public message and a very different one behind closed doors.

On stage, they boasted about their shiny electric vehicles. Backstage, they were blunt: the ban on engines by 2035 is unfeasible.

The main players (Volkswagen, Mercedes-Benz and Stellantis) are taking advantage of the auto show to firmly oppose the European phase-out of combustion engines. They no longer hide their frustration.

Volkswagen's CEO, Oliver Blume, stated: “It is unrealistic to expect to have 100% electric vehicles by 2035.” This was right after showcasing an entire fleet of electric vehicles to the press. “I firmly advocate for reality checks,” he added.

And the CEO of Mercedes-Benz, Ola Källenius, commented to Bloomberg: “It is time to take stock of which policies have worked and which need adjustments. We are convinced that doing nothing is not an option.”

Automotive giants against Brussels over the 2035 deadline

Tension is rising ahead of a summit this Friday in Brussels. The President of the European Commission, Ursula von der Leyen, will meet with industry leaders to hear their concerns. And she will hear many. Stellantis executive, Jean-Philippe Imparato, made it clear: “The 2035 deadline is unachievable.”

These are not light complaints. Manufacturers are facing a stagnant European market, unstable demand for electric vehicles, and rapidly advancing Chinese competition. BYD is leading this offensive, offering affordable models that European companies still cannot match.

Meanwhile, politicians like German Chancellor Friedrich Merz, whose party has opposed the elimination, will speak in Munich supporting the industry's concerns.

Manufacturers want the EU to allow more flexibility. This includes extending the life of the autonomy extenders (small gasoline engines that charge the battery), more time for hybrids, continuing subsidies, and less strict safety rules for small vehicles.

According to them, it is not about evading climate goals, but rather giving Europe time to adapt without destroying the automotive industry or handing the market over to China.

The EU under pressure as the climate debate intensifies

But European regulators and environmental groups are resisting. They claim that diluting the 2035 target would kill European climate credibility. Investors would receive mixed signals and the growth of clean technologies would slow down.

Brussels wants to demonstrate to the world its seriousness about abandoning fossil fuels, and the automotive sector is a key battleground. There is more at stake than just cars. The transition to electric vehicles affects millions of workers in Germany, France, and Italy.

If combustion engines disappear too quickly, supply chains break. That is the nightmare scenario for European industrial powers. But for the EU, delaying the ban means falling even further behind China.

The European Commission is already reviewing its climate goals for 2030 and 2035 in the automotive sector. It will propose changes next year. Meanwhile, Friday's meeting in Brussels promises to be tense. Manufacturers and suppliers will demand from Von der Leyen what they need: more time, more flexibility, and less regulation.

The general climate debate is also intensifying. The Commission has proposed reducing emissions by 90% by 2040, but not everyone agrees. France wants to bring that debate forward to next month's leaders' summit. Italy demands exceptions for biofuels as a condition for accepting the target. This means more delays, more negotiations, and more uncertainty.

So while manufacturers pretend to be racing ahead with electric vehicles, the truth is they are hitting the brakes behind the scenes. And not subtly. It's a full-blown lobbying war. On one side: the largest European automotive giants. On the other: Brussels regulators who don't want to give in first.

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European manufacturers celebrate advances in electric vehicles but reject ban on engines

Automotive giants against Brussels over the 2035 deadline

The EU under pressure as the climate debate intensifies

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