Overview

• The EU Commission will review the 2035 combustion engine ban this year, instead of the originally planned 2026 timeline.
• Commission President Ursula von der Leyen emphasized a technology-neutral approach, including potential exceptions for e-fuels.
• Automakers are granted flexibility to meet 2025 CO₂ targets by compensating with overachievement in 2026 and 2027.
• A new action plan focuses on five priorities: climate goals, digitalization, competitiveness, workforce support, and global collaboration.
• Proposed measures include investments in battery technology, autonomous vehicles, and affordable leasing programs for electric cars.