EU Eases CO2 Emission Targets for Automakers

In a recent development, the European Parliament has endorsed a relaxation of the EU's stringent CO2 emissions targets for cars and vans. Automakers across Europe are relieved by this decision as they face stiff competition in the burgeoning electric vehicle market.

The original targets posed a risk of substantial fines that could reach up to 15 billion euros. This is attributed to the European manufacturers' relatively slow pace in electric vehicle production compared to their Chinese and U.S. counterparts.

Responding to extensive lobbying from the industry, the European Commission has now proposed a timeline extension. Automakers will be evaluated on average emissions between 2025 and 2027, rather than the current year, providing much-needed breathing space.

(With inputs from agencies.)