EU plans to ban internal combustion engine cars by 2035; varying adoption rates seen across Europe.
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The European Commission has proposed phasing out the ban on new internal combustion engine cars starting in 2035, a move that represents a significant retreat from its green policies. Under the proposal, car manufacturers must reduce CO2 emissions by 90% compared to 2021 levels, with the remaining 10% needing compensation through the use of low-carbon steel, synthetic fuels, or non-food biofuels. The Commission also plans to provide 1.5 billion euros in interest-free loans for the European electric vehicle battery industry to accelerate decarbonization. Despite these efforts, European consumer habits show mixed adoption; while new electric vehicle registrations decreased in the EU last year, electric vehicles hold significant market shares in countries like Denmark and Malta. In Lithuania, electric vehicles accounted for 20.5% of the new passenger car market in 2024, while diesel cars still dominate the used market. Conversely, in countries like the Czech Republic, diesel cars remain a large part of the fleet due to local industry and lack of strong regulatory push. Spain, however, has seen a positive shift towards electric and hybrid vehicles, attributed to government messaging and traffic restrictions favoring cleaner cars.
