The mood in Brussels is tense as Europe’s largest carmakers wait for clarity on the future of the market. The European automotive sector is struggling to manage the costly transition to electric vehicles while competing with Chinese manufacturers and facing tariffs that squeeze profit margins.
This expensive transformation requires companies to invest billions into new EV platforms and battery production, putting enormous pressure on their finances.
Industry Hopes for EU Support
Carmakers are counting on the European Union to unveil a support package that could give them much-needed relief. This package has become the focus of attention because the industry hopes it will ease the strict stance on the planned 2035 phase-out of traditional combustion engines.
Push for Flexibility on the 2035 Deadline
European automakers are lobbying Brussels for greater flexibility around the 2035 cutoff. They are not demanding a complete rollback, but they want certain low-emission technologies to be accepted. In particular, they are asking for vehicles running on CO2-neutral fuels to be allowed beyond 2035, and for plug-in hybrids to be exempt from the ban. According to the industry, this approach would make the transition to electric mobility more manageable, protecting jobs and profits while still supporting climate objectives.
Delayed Announcement Sparks Speculation
The European Commission had initially planned to announce the support package on December 10. However, sources close to the German car industry now suggest that this date is likely to be postponed. Another industry insider has echoed this view, saying that many manufacturers believe the Commission will delay publishing its proposals until after December 10.
Uncertainty Across the Continent
There has been no official confirmation of a delay, but when quiet industry concerns grow into a continent-wide discussion, it usually suggests that something is happening behind the scenes. Automakers, anxious for clear guidance on their investments in future electric and hybrid models, are watching the calendar with increasing unease.
Political Pressure from Germany
The debate has already drawn in top political figures. German Chancellor Friedrich Merz has written to Brussels, requesting that both plug-in hybrids and “highly efficient” combustion engines be exempt from the 2035 phase-out. This intervention carries significant political weight. EU Transport Commissioner Apostolos Tzitzikostas has said that the Chancellor’s letter was “well received,” according to comments made to the German business daily Handelsblatt.
Commission Keeps Its Options Open
The European Commission has tried to cool speculation without outright denying that a delay is possible. A spokesperson described all current timelines as “indicative,” stressing that this is an “ongoing process” and that decisions on next steps will only be made after all contributions have been evaluated. This cautious language keeps the industry in a state of uncertainty but also fuels hope that the Commission is seriously considering adjustments to the 2035 combustion engine ban.
