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Germany Presses EU to Ease 2035 Combustion-Car Ban as Industry Split Sharpens

EU leaders will meet carmakers in Brussels this week to discuss the 2035 sales rules.

Overview

  • At the Munich auto show, Chancellor Friedrich Merz called for “flexibility” in the EU phaseout, urging a technology‑neutral route to climate goals as the sector faces mounting strain.
  • BMW, Mercedes and Volkswagen joined Stellantis in questioning the deadline, with VW chief Oliver Blume saying 2035 is “not attainable” and urging annual review clauses.
  • The European Commission set a post‑show meeting with President Ursula von der Leyen and automakers in Brussels to weigh electrification targets, competitiveness and trade tensions.
  • More than 150 companies across electric vehicles, batteries and charging urged the Commission not to backtrack on the 2035 ban.
  • Competition sharpened at the show, with a larger Chinese presence, BYD planning Hungary production of its roughly €20,000 Dolphin Surf from late 2025, and Volkswagen preparing €25,000 entry‑level EVs for 2026.