
Industry and Transport Committee approve compromise proposal on CO2 emissions from new cars.
AI-generated summary
It was originally decided that there would be a strict end to new cars with CO2 emissions in the EU from 2035.
How many cars with combustion engines will be allowed to be registered in the future? In the European Parliament, the easing of the so-called ban on combustion engines is clearing the first hurdles.
It was originally decided that new cars in the EU from 2035 should no longer be allowed to emit climate-damaging carbon dioxide (CO2) during operation. That should change. (Symbolic image) Photo: Sebastian Kahnert/dpa
Strasbourg. In the first votes in the European Parliament, the majority of MPs voted in favor of easing the ban on combustion engines. The industry and transport committees agreed to a proposal negotiated by negotiators from the conservative EPP, the social democratic S&D and the liberal Renew Europe group earlier this week.
The committees' opinions stipulate that CO2 emissions from new cars in the EU should be reduced by 95 percent by 2035. If manufacturers use climate-friendly steel from Europe, they can reduce the price by a further 7.5 percentage points without having to fear penalties.
Berlin and Paris have different ideas
In terms of emissions, this is somewhat more ambitious than the proposal presented by the German and French governments last week. This stipulates that car manufacturers only have to reduce average CO2 emissions by 90 percent from 2035 compared to the base year 2021, without having to compensate for the remaining 10 percent.
In December, the EU Commission proposed adapting the plans for a strict ban on combustion engines. For this to come into force, the European Parliament and EU states must agree on a compromise. Parliament as a whole is expected to decide its position in December.
In the Industry Committee, all S&D, EPP and Renew MPs now voted for it. The right-wing faction of the European Conservatives and Reformers (ECR), the right-wing populist party family Europe of Sovereign Nations (ESN), the far-right alliance Patriots for Europe (PfE), the Left and the Greens/EFA voted against it. According to the minutes, there were a total of 49 yes votes, 27 no votes and 5 abstentions.
What is the right path for industry and jobs?
The transport policy spokesman for the EPP parliamentary group, Jens Gieseke (CDU), who took part in the negotiations, said: "Our automobile manufacturers need flexibility and planning security in order to successfully shape the transformation, keep investments in Europe and secure jobs. We want to combine climate protection with a strong industry - not play one off against the other."
The SPD MP Vivien Costanzo, who negotiated for her group, spoke of a compromise “that keeps the big picture in mind and at the same time gives more flexibility”. “Strict “Made in EU” regulations will soon have to be introduced to further protect our industry.”
MEP Michael Bloss (Greens), who is negotiating the dossier, criticized the decisions. “Social Democrats and conservatives are relying on the combustion engine and are slowing down e-mobility.” Europe's car manufacturers would have to change course, European battery production would have to be ramped up and the charging infrastructure would have to be expanded.
AI outlook — possibilities, not facts
Parliament as a whole will decide its position in December.
Very likely · Within months

BMW is providing over one billion euros for a severance pay program to cut around 8,000 employees by the end of 2027. The focus is on development and administration as well as managers.

Volvo Car is cutting 2,500 jobs worldwide after sales in China halved and business in the US weakened. In the third quarter, the Swedish car maker recorded a heavy operating loss.

Swedish automaker Volvo Cars is cutting around 2,500 jobs worldwide, including 2,000 in Sweden, after a disastrous third quarter of 2026 left it deep in the red. The reasons are slumps in sales in China and the USA.

Due to a sharp drop in sales in the third quarter, the Swedish car manufacturer Volvo Cars is cutting 2,500 jobs worldwide in an attempt to reduce costs. In addition to the weak Chinese market, tariffs and the loss of purchasing incentives in the USA are also weighing on business.

The largest model offensive in the history of Mercedes-Benz is showing strong sales figures for new electric cars such as the CLA and GLC in Europe. While the German highway company is filling its European order books and catching up with rival BMW, sales in the important Chinese market remain disappointing.

Audi plans to build a new factory in Georgia and production at the Scout plant in South Carolina to avoid high US import tariffs. The billion-dollar project depends on negotiations between the Audi leadership and the US government under Donald Trump about subsidies, while sales and profits in the USA have plummeted.