Europe and the UK have long sought to eliminate the sale of new pure ICE vehicles, moves aimed at slashing emissions and combating climate change. Both aim to implement these zero-emissions mandates by 2035, though the sale of specific hybrids such as plug-ins will be allowed as a stopgap measure given a slowdown in EV demand across the globe. Trouble is, many automakers – including Ford – face potentially massive fines if each fails to hit its stair step targets in terms of EV sales mix each year, though at least one European official thinks that such measures are a bit extreme.
That official is German Chancellor Olaf Scholz, according to The Guardian, who recently visited the Ford Cologne Electric Vehicle Center and addressed the need to subsidize energy costs for EV and battery manufacturers. Scholz said that the European Union should avoid issuing punitive fines to automakers that don’t meet emissions standards. Between 2025 and 2029, the average new vehicle in Europe can’t emit more than 93.6 grams of CO2 per kilometer, and companies that fail to hit that mark face fines of €95 ($98.84 USD) for every gram of CO2 emitted above the target.
After Scholz met with the European Commission, it stated that a “strategic dialogue” on the future of the automotive industry would take place next month, “with a view to swiftly proposing and implementing measures the sector urgently needs.” “We need to support this industry in the deep and disruptive transition ahead,” commissioner Ursula von der Leyen stated.
Amid these pressures, Ford has been quite vocal about its desire for the UK and European governments to offer robust incentives in an effort to drive EV sales, which have thus far fallen behind expected levels of growth. In the meantime, The Blue Oval plans to eliminate 4,000 positions across Europe – most in Germany and the UK – by the end of 2027 as it continues to deal with significant losses across its passenger vehicle lineup in that region and shifts to a more commercial focus.
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