EU sets 2035 deadline to phase out petrol and diesel cars
The European Parliament has crossed a key hurdle to approve a Council-backed agreement that will ban the sale of new petrol and diesel cars and vans from 2035. The goal is to ensure that all vehicles sold in the EU from that year onward are zero-emission. The regulation, the first major step in the fit for 55 package, passed with 340 votes in favor, 279 against, and 21 abstentions. The final sign-off now rests with the Council.
Officials hailed the move as a clear step toward a zero-emission automotive future. A spokesperson for the European Commission described the vote as a commitment to cleaner road transport, noting that EU citizens will have access to clean and affordable vehicles as the global transition accelerates. In remarks attributed to a key transport committee leader, the industry is urged to move away from fossil fuels and to view this vote as a strong signal to manufacturers.
The new rules set an interim milestone for 2030 to reduce CO2 emissions from new passenger cars and light commercial vehicles to zero by 2035. By 2030 the targets call for a 55 percent reduction for new cars and a 50 percent reduction for new vans, compared with 2021 levels. Five years later, the targets rise to a 100 percent reduction for both car and van categories. Some small manufacturers will receive exemptions until the end of 2035 based on volume thresholds; producers with very low output will retain exemptions. The design aims to balance ambitious climate goals with practical manufacturing realities in the European market.
By 2025 the European Commission will present a methodology to assess and report CO2 emissions across the entire life cycle of cars and vans sold in the EU. In addition, by December 2026 the Commission will examine the gap between legally required emission limits and observed fuel and energy use, report on adjustments to manufacturers CO2 figures, and propose follow-up actions.
Parliament’s transport rapporteur noted that the regulation will drive the production of zero-emission and low-emission vehicles while inviting a thoughtful review of the 2030 and 2035 targets to support climate neutrality by 2050. The prospect of cleaner cars being cheaper to buy and operate, coupled with a faster rise of the used-car market, was highlighted as a practical outcome for consumers and industry alike.
Under the incentive framework, manufacturers are rewarded for selling more zero or low-emission vehicles. Vehicles in this category emit between zero and 50 g CO2 per kilometer and include electric and plug-in hybrid models with strong performance. The mechanism will need to adapt to new sales realities, with a staged transition from 2025 to 2029 setting specific share targets for new car and minibus sales. From 2030 onward, the incentive is removed and only zero-emission vehicles will be marketed. This structure aims to push automakers toward rapid electrification while maintaining market stability for consumers in the EU and beyond, including markets in North America seeking a robust transition to clean mobility.