Reaction to US tariffs

EU announces new CO₂ standards for car manufacturers

With CO₂ penalties looming, EU Commission President Ursula von der Leyen wants to give car manufacturers more time. She will propose a change to the standards in March, the politician announced in Brussels on Monday.

This involves concessions due to the announced US tariffs of 25 percent, which are to be added to cars from the EU, among other things. This is likely to hit German manufacturers particularly hard.

Von der Leyen had already promised manufacturers "flexibility" with regard to European environmental regulations at the end of January. On Monday, there were further consultations with representatives from Volkswagen, Daimler and Renault.

Here you can see von der Leyen's announcement.

The background to the impending penalties are the so-called fleet limits. Since the beginning of the year, the average CO₂ emissions of the cars produced have been measured. According to the original plan, manufacturers who emit too many greenhouse gases will have to pay a fine. As sales of e-cars have not developed as well as predicted, some car manufacturers could exceed the limits.

Details to follow on Wednesday
The threat of fines for excessive greenhouse gas emissions could now be dropped again. "Now is the time to act," said von der Leyen. For example, an industrial alliance should be established to promote autonomous driving.

The exact nature of the concessions is to be announced on Wednesday. On Tuesday, the EU Commission President will meet with representatives of the struggling steel industry.