08:25 14-11-2025

Automakers urge EU to rethink 2035 combustion-car ban to keep investment

Europe's top automakers warn EU investment will shrink unless the 2035 combustion-car ban is eased, urging a realistic transition as EV demand cools for buyers

Europe’s biggest automakers warn that investment in the region could shrink unless the EU reconsiders rules that prohibit the sale of new combustion-engine cars from 2035. Stellantis chief executive Antonio Filosa indicated that easing the standards would trigger an immediate increase in investment.

The backdrop is hardly encouraging: vehicle production in the EU still hasn’t returned to pre-pandemic levels, while other regions are expanding more decisively. In the United States, investment has risen after environmental requirements were relaxed — a contrast that makes clear how policy direction can steer capital.

Experts point out that manufacturers recalibrate their strategy according to the flexibility of regional rules. When restrictions are tight, companies slow their development pace; when regulation is more accommodating, they open new sites and add jobs. The logic is predictable: capital tends to follow clarity and pragmatism.

Automakers emphasize they are not opposed to electrification; they are asking for a more realistic transition period. With demand for electric cars cooling, the rulebook debate becomes especially relevant for those deciding what to buy in the coming years and for how the market will evolve. The conversation has shifted from ambition to execution and timing.