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France and Germany propose 90 per cent CO₂ cut for new cars by 2035

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France and Germany propose 90 per cent CO₂ cut for new cars by 2035

Germany and France are set to propose that carmakers cut fleet CO₂ emissions by 90 per cent by 2035, rather than the currently planned 100 per cent - with no requirement to offset remaining emissions. That's according to excerpts from a preliminary agreement paper which also point to stricter "Made in Europe" requirements as the two countries seek to reshape the EU's 'Auto Package'.

Last week, FAZ and Handelsblatt reported that French President Emmanuel Macron is abandoning his resistance to a relaxation of the EU fleet CO₂ targets for cars. In return, German Chancellor Friedrich Merz is to move away from his previously defensive stance against overly strict “Made in EU” requirements. While the broad outlines have been agreed upon, further details are still under negotiation, according to EU diplomats cited last week. Spiegel now quotes from the preliminary agreement paper between the two sides, which is to serve as the basis for negotiations at the EU level.

Fundamentally, France and Germany have so far held differing positions on key aspects of the Auto Package. Chancellor Merz and President Macron are now each conceding on one major issue but, in return, receiving support for another core concern. Thus, France is reportedly willing to support a relaxation of the CO₂ fleet targets – even beyond the level proposed by the Commission. In return, Germany is yielding on the planned Industrial Accelerator Act (IAA) and supporting stricter “Made-in-Europe” rules than originally envisaged.

According to the agreement paper, both sides are now proposing that the CO₂ fleet targets for manufacturers should be reduced by 90 per cent by 2035, rather than the previously planned 100 per cent.


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