Skip to main content

European car manufacturers face world’s toughest CO2 targets

Following the adoption yesterday of the European Commission's proposals to reduce CO2 emissions from cars and vans, the European Automobile Manufacturers' Association (ACEA) says it will now work with its members to conduct a full analysis of how the proposed targets should be reached as well as their feasibility, and what this means in practice for the industry as a whole.
July 12, 2012 Read time: 3 mins
RSSFollowing the adoption yesterday of the European Commission's proposals to reduce CO2 emissions from cars and vans, the European Automobile Manufacturers' Association (6175 ACEA) says it will now work with its members to conduct a full analysis of how the proposed targets should be reached as well as their feasibility, and what this means in practice for the industry as a whole.

The auto industry shares concerns about global warming and is contributing actively to find sustainable solutions. In 2011, the average fleet emissions were 136.6 gCO2/km compared to 186 gCO2/km in 1995, which is a 26.6% decrease over the period. "It is clear that CO2 levels from vehicles have to continue on their downward trend and the industry is committed to deliver on this," stated Ivan Hodac, ACEA secretary general.

However, the proposal to reach a fleet-average target of 95 gCO2/km for cars and 147 gCO2/km for vans by 2020 will remain extremely challenging.

"These are tough targets - the toughest in the world," said Hodac. Indeed, contrary to some claims, the proposed targets for the European fleet are far more stringent than those in the US, China or Japan. This will increase manufacturing costs in Europe, creating a competitive disadvantage for the region and further slowing the renewal of the fleet.  

In the context of declining car sales for the past five years running, the proposed targets would place an extra strain on manufacturers. The outlook for the industry as a whole is also pessimistic. In 2012 new car registrations are expected to decrease by about  seven per cent compared to 2011, and sales are set to drop from 13.1 million to 12.2 million. This is a record low since 1995.

"Considering that most manufacturers are losing money in Europe at the moment, the industry needs as competitive a framework as possible. Targets, while ambitious, must be feasible. The overall regulatory framework and market environment must be supportive, as also agreed in the recently concluded CARS 21 process," explained Hodac.

"The industry is diverse; the CO2-legislation is complex, and the cost implications are huge. ACEA and its members will now take the time they need to investigate the details of these proposals and their envisaged consequences."

The ACEA members are BMW Group, DAF Trucks, Daimler, Fiat, Ford of Europe, General Motors Europe, Hyundai Motor Europe, Iveco, Jaguar Land Rover, Porsche, PSA Peugeot Citroën, Renault Group, Toyota Motor Europe, Volkswagen Group, Volvo Cars, Volvo Group. They provide direct employment to more than two million people and indirectly support another 10 million jobs.

For more information on companies in this article

Related Content

  • Hydrogen Mobility Europe project launched
    September 25, 2015
    A coalition of European partners has launched the Hydrogen Mobility Europe project (H2ME), co-funded with US$36 million from the Fuel Cells and Hydrogen Joint Undertaking (FCH JU). The project will support the deployment of 200 fuel cell electric vehicles (FCEVs), 125 fuel cell range-extended electric (FC RE-EVs) commercial vans and 29 new hydrogen refuelling stations (HRS) in Austria, Belgium, Denmark, France, Germany, Iceland, Netherlands, Norway, Sweden and the UK by 2019. H2ME is based around an
  • PSA Peugeot Citroën takes a stake in car-sharing company
    April 12, 2016
    French car company PSA Peugeot Citroën has become a shareholder in peer-to-peer car-sharing start-up Koolicar, with an investment of US$10.6 million (€18 million), alongside investment fund MAIF Avenir, Koolicar's partner since 2010. Now active in around 40 French cities, with over 60,000 registered users, Koolicar started car-sharing operations back in 2012 and claims it offers unique and innovative technology for peer-to-peer car rental in Europe. Based on a connected box that can be fitted on any typ
  • DG MOVE’s Christos Economou on the EU’s vision for road transport
    July 26, 2013
    Christos Economou, Deputy Head of Unit dealing with land transport within the European Commission’s DG MOVE, describes a new framework for road charging in Europe to Jason Barnes. Within the European Union (EU), two Directives shape the legislative framework on road charging. Directive 1999/62/EC sets up a number of rules to make sure that national road charging schemes do not distort competition on the internal market or discriminate between hauliers. It is misleadingly called ‘Eurovignette’ after the comm
  • Fiat-Renault would be ‘world leader’ in AVs and EVs
    May 28, 2019
    Fiat Chrysler Automobiles (FCA) has suggested a merger with Renault which it believes would make the combined company a ‘world leader’ in new mobility technologies. The proposal stems from discussions between both companies to identify products and geographies in which they could collaborate. FCA says the case for combination is strengthened by the need to take bold decisions to capture opportunities such as connectivity, electrification and autonomous vehicles (AVs). The combined business is expected