European Union-based carmakers will need to comply with a 90% reduction in CO2 emissions from 2035, instead of the 100% previously set in EU law, the European Commission announced today, revoking a controversial wholesale ban on internal combustion engine (ICE) vehicles adopted in March 2023.
Manufacturers will have to compensate for the remaining 10% of emissions by using low-carbon steel produced in the EU or by using sustainable fuels such as e-fuels and biofuels.