EU industry summit confirms strategic focus on electric cars

A high-level EU summit on Friday reaffirmed Europe’s commitment to electric cars, with the Commission holding firm on CO2 targets through 2035 despite industry calls for flexibility.

EU Commission President Ursula von der Leyen met with top automotive executives in Brussels for a three-hour “Strategic Dialogue” to discuss the sector’s future amid economic and environmental pressures.

An industry source told that the discussions confirmed a shared understanding: “No matter what, the future is electric,” while also noting that carmakers recognize the need to transition to zero-emission vehicles.

European manufacturers had called for more flexibility in CO2 target enforcement. Yet officials emphasized that the 2035 phase-out of combustion engine vehicles remains unchanged, as Brussels seeks climate neutrality by 2050.

Audi CEO Gernot Döllner said battery-electric cars are the best solution for reducing transportation emissions, warning that debates over combustion engines risk confusing consumers. Michiel Langezaal, CEO of Fastned and president of ChargeUp Europe, echoed the sentiment, highlighting the need for a growth mindset and coordinated action to lead the global e-mobility transition.

The sector faces challenges including falling sales, high energy costs, subsidized competition from China, and US trade tariffs. EU industry chief Stéphane Séjourné warned in April that Europe risks losing its global automotive leadership if structural issues are not addressed.

Sigrid de Vries, director general of the European Automobile Manufacturers’ Association, said battery electric vehicles still account for just 15.6% of passenger cars and 9% of vans in the EU-27. She stressed that widespread adoption depends on improved infrastructure, grid upgrades, and consistent incentives.

Carmakers argue that electric vehicles must become more attractive than combustion-engine cars, requiring purchase incentives, fair taxation, lower charging costs, and easier city access. Heavy-duty vehicle infrastructure, modernized grids, and reduced electricity prices are also key priorities.

The automotive industry remains central to Europe’s economy, employing over 13 million people and contributing around 7% of the EU’s GDP, making the success of the e-mobility transition critical for both climate goals and economic stability.

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