Overview

• A Transport & Environment report says all major European manufacturers except Mercedes-Benz are set to meet the 2025–2027 emissions targets as battery-electric sales accelerate.
• Battery-electric vehicles are projected to reach about 18% of EU sales this year and surpass a 30% market share by 2027, driven by cheaper batteries, more affordable models and expanded charging networks.
• Mercedes is expected to avoid fines by pooling emissions with Volvo Cars and Polestar, while the EU’s March decision allows compliance to be averaged across 2025–2027.
• Over 150 EV-industry leaders, including Volvo Cars and Polestar executives, urged Brussels to keep the 2035 zero-emission deadline, contrasting with automaker and supplier groups seeking to weaken or replace the target.
• At Munich’s IAA show, carmakers unveiled lower-cost models and intensified lobbying, with VW’s CEO citing multibillion-euro costs from U.S. tariffs and Stellantis saying the 2035 goal is not achievable as it broadens beyond EV-only plans.