France and Germany challenge post-2021 EU Cars and CO2 regulation proposals

France and Germany have issued a joint declaration challenging European Parliament proposals for a 68-78g CO2/km target for 2025. The declaration says that developments beyond 2021 are "surrounded by considerable uncertainty". The 2021 target is for average new car emissions to be below 95g CO2/km.

 

The Financial Times reports that the joint declaration from two leading members of the EU is setting the stage for a fresh stand-off with Brussels.

 

The French and German Governments are suggesting that the adoption of a new vehicle testing regime should be pushed back to 2030. They are concerned that a 2025 CO2 target coming just four years after the 2021 deadline, would give carmakers too little time to introduce the advanced electric and hybrid technology.

 

“We will develop joint key points for a future CO2 emissions regime for vehicles from 2030, and discuss these with our partners in the European Union,” said the Franco-German statement published in the FT.

 

The EU has its own target to cut greenhouse gas emissions 40 per cent by 2030 compared with 1990 levels. About 11 per cent of greenhouse gas emissions in the continent are caused by cars and two-wheel vehicles.

 

But there are concerns in the industry that a 2025 CO2 target, coming just four years after the 2021 deadline, would give carmakers too little time to introduce the advanced electric and hybrid technology needed to meet the targets.

 

Carlos Ghosn, chief executive of Renault-Nissan, the biggest seller of electric vehicles, and president of European manufacturers’ body Acea, said the industry welcomed the joint declaration as it provides greater certainty that the next CO2 target after 2021 is going to be 2030.

 

However, environmental groups said the move by France and Germany to protect their national industries was misguided and that Europe would lose competitive advantage to foreign car makers who will speed ahead in the race to produce lower emitting vehicles.