EU Eases CO2 Emission Targets for Automakers

The European Union has decided to relax its CO2 emissions targets for automobiles, providing more leeway for car manufacturers to meet the set standards. This adjustment aims to mitigate potential fines and comes after intense industry lobbying.

European automakers had raised concerns that the existing targets posed a risk of incurring fines up to 15 billion euros due to slow progress in the electric vehicle market, where they trail behind competitors from China and the United States. To address this, the European Commission proposed extending the assessment period for compliance to encompass 2025-2027, rather than just this year.

The proposed changes await approval from both the European Parliament and the Council. The Parliament is set to vote on the matter on Thursday, with expectations leaning towards a swift endorsement of the proposal.

(With inputs from agencies.)