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BackStudy: European car manufacturers on track to meet CO₂ limits by 2027
Study: European car manufacturers on track to meet CO₂ limits by 2027
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Handelsblatt45 minutes agoBusiness2 min readGermanyView original

Study: European car manufacturers on track to meet CO₂ limits by 2027

Quick Look

  • A study by the lobby organization Transport & Environment shows that European car manufacturers have already met 75 percent of the EU's CO₂ limits and should be able to fully implement them by the end of 2027.
  • Sales of electric cars are increasing, especially for affordable models under 25,000 euros, as the industry faces a crucial phase.

AI-generated summary

Why It Matters

The EU has set strict CO₂ limits for new vehicles, which the automotive industry must fully implement by 2027. Previous doubts about the feasibility of these goals have been refuted by current market developments.

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Berlin. According to a study, all European car manufacturers meet the European Union's CO₂ limits. Manufacturers have already met 75 percent of the requirements, according to a study by the lobby organization Transport & Environment, which was published on Monday. They have until the end of 2027 to fully implement it. It is to be expected that many manufacturers will achieve their goal before the deadline.

“The signs are clear: the CO₂ targets are working as expected,” the investigation said. Previous statements from the industry that the targets could not be achieved have proven to be false. “The final quarter of 2026 will be the key moment for the European industry.” Negotiations on the CO₂ targets are now coming to a conclusion.

Those responsible would have to decide whether Europe's electrical future would be secured or whether alternatives such as biofuels would lead to a dead end. “Politicians must act decisively to protect the population and make this the last fossil fuel crisis.”

In recent months, sales of electric cars have skyrocketed in many European countries. High oil prices and government purchasing incentives played an important role.

There is also an increasing selection, especially for smaller vehicles. Sales of cars priced under 25,000 euros are expected to increase sevenfold this year compared to 2024, the T&E study said. Volkswagen recently launched the electric Polo and three sister models in this category. However, more combustion vehicles are still available in this price category.

In general, the current year is characterized by a large number of new vehicles. There are currently more than 150 electric models on the market, almost 40 of which were introduced in the first half of the year. These statistics are led by European car manufacturers, who provide almost 60 percent of the vehicles. Chinese manufacturers would have 21 percent.

What to Watch

AI outlook — possibilities, not facts

  • Sales of electric cars under 25,000 euros will increase five to seven times this year compared to 2024.

    Likely · Within months

  • The final quarter of 2026 will be the key moment for deciding Europe's electric future.

    Possible · Within months

Open Questions

  • How exactly are manufacturers planning the transition to electric vehicles in the lower price ranges?
  • What role will biofuels and other alternatives actually play?
  • How will Chinese manufacturers influence the European market in the long term?

Related Topics

This article was originally published by Handelsblatt.

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