EU Carmakers Press for Shift on 2035 Engine-Ban as EV Momentum Wobbles

Brussels is bracing for a shake-up in Europe’s auto policy after carmakers from Volkswagen to Stellantis signalled they want to dilute the bloc’s 2035 ban on new internal-combustion-engine (ICE) vehicles, citing a stumble in electric-vehicle (EV) momentum.

The shift in tone marks a remarkable turn from the early 2020s, when EU automakers had embraced electrification with bullish forecasts. According to the industry association European Automobile Manufacturers' Association (ACEA), battery-electric vehicles now account for roughly 16 % of new car registrations — up from 13 % a year ago — but still well below the pace needed to justify wholesale transition.

Instead of sticking to a rigid EV-only mandate, automakers are lobbying for a “technology-neutral” framework that would allow carbon-neutral fuels, plug-in hybrids, and range-extender engines to remain part of the mix after 2035. The argument from industry insiders — echoed by Stellantis’s chairman — is that the transition requires flexibility to avoid what they warn could be an “irreversible decline” for a sector still wrestling with high energy costs, weak demand, and growing competition from Chinese EV makers.

Yet the call for leniency faces resistance. Some EU capitals, along with commission officials, remain wary of undercutting climate goals and setting back the bloc’s leadership in zero-emission transport. As of now, the scheduled regulatory update due on December 10 could be delayed, as EU decision-makers attempt to reconcile competing pressures — from industrial lobbyists, environmental advocates, and geopolitical rivals.

For Europe’s auto industry, the coming weeks may determine whether 2035 remains a hard cut-off — or a far more flexible milestone in a jagged, uncertain transition to cleaner mobility.