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Clear out junk files and repair common Windows errorsFree Scan →Scan for outdated or missing drivers - takes under a minuteDriver Scan →Repair Windows errors before they cause bigger problemsFix Now →Cheaper electric cars are gaining ground in Europe, while the EU considers changing the rules that shape automakers’ emissions targets. The key distinction: the current law sets a 100% emissions-reduction target for new cars and vans from 2035; the European Commission has proposed changing that to a 90% tailpipe reduction, with conditions for addressing the remaining 10%. The proposal is not established as enacted law.
What the current EU car and van rules require
Regulation (EU) 2019/631 sets CO₂ performance standards for new passenger cars and vans. Regulation (EU) 2023/851 introduced a 100% emissions-reduction target for new cars and vans from 2035. That is the existing legal framework described by the European Commission, distinct from the Commission’s later proposal to amend it. European Commission: CO₂ standards for cars and vans
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For 2025–2029, the Commission lists fleet-wide targets of 93.6 g CO₂/km for cars and 153.9 g CO₂/km for vans. These are manufacturer fleet targets, not an individual vehicle’s permitted emissions limit.
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What the Commission has proposed for 2035
In December 2025, the Commission proposed amending the CO₂ standards framework. Under its proposal, manufacturers would face a 90% reduction in tailpipe emissions by 2035, rather than the existing 100% reduction target. The remaining 10% would have to be compensated through specified measures: low-carbon steel made in the EU, e-fuels or biofuels. European Commission: proposed CO₂ standards revision
The Commission says plug-in hybrids, range extenders, mild hybrids and internal-combustion vehicles could continue to play a role alongside battery-electric and hydrogen vehicles. This describes the Commission’s proposed framework; it does not mean the rules have changed or that every vehicle type would meet the targets without the required compliance measures.
Proposed flexibility for 2030 and vans
The proposal would let manufacturers bank and borrow compliance credits for the 2030–2032 period. It would also lower the vans’ 2030 CO₂ target from a 50% reduction to 40%. These are proposed changes, separate from the 2025–2027 averaging provision already adopted.
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How the proposal connects to cheaper EVs
Before 2035, the Commission proposes “super credits” for small affordable electric cars made in the EU. The intended effect is to give manufacturers an additional compliance incentive to deploy more small EV models. The Commission describes the aim this way: “This will incentivise the deployment on the market of more small EV models.” European Commission
That mechanism is a proposed incentive, not proof that it is already operating, that it has already lowered prices, or that it has caused new models to launch. It is also specifically framed around small affordable cars made in the EU, rather than all electric vehicles.
Affordability is about more than a headline purchase price: model choice, running costs and access to charging all matter. The Commission’s June 2026 article points to a wider range of models priced around €25,000 than a few years earlier, but that is indicative context—not a guaranteed price or a like-for-like comparison of particular cars. European Commission, 16 June 2026
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What the registration figures say about the EV market
Fully electric cars’ share of new EU registrations rose to 20.6% in April 2026, from 15.7% in April 2025, according to the Commission citing ACEA. They averaged 17.4% of new EU car registrations over 2025. The Commission also reported around 750,000 new fully electric cars sold in the EU between January and April 2026. European Commission, 16 June 2026
These recent figures are not directly comparable with the Commission’s 2024 statistic for zero-emission vehicles, which covered the EU, Norway and Iceland and included both cars and vans: zero-emission vehicles accounted for 14.5% of new car registrations and 6.4% of new van registrations that year. The Commission also reported that average CO₂ emissions from new passenger cars registered in Europe fell 28% between 2019 and 2024, attributing the main driver to the surge in zero-emission vehicles. European Commission: vehicle emissions and registrations
Independent reader supportYour contribution helps us test, update, and keep practical guides available for everyone.How ACEA’s position differs from the Commission proposal
ACEA, the European Automobile Manufacturers’ Association, argues that manufacturers face weak demand, global competition, affordability challenges and uneven charging-infrastructure deployment. In its 12 May 2026 fact-sheet introduction, it advocates additional flexibility for 2030 and a workable, technology-neutral path to decarbonisation by 2035. Those are the industry association’s arguments, not the Commission’s policy position or a description of enacted law. ACEA: revision of CO₂ standards for cars and vans
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The Commission proposal itself includes 2030–2032 banking and borrowing, a lower proposed 2030 vans target, and a defined 2035 tailpipe target with compensation options. ACEA’s introduction calls for additional flexibility and technology neutrality, but the available fact-sheet introduction does not establish a detailed alternative target or a specific replacement mechanism. The proposals and advocacy should therefore not be treated as equivalent policy texts.
Where the revision stands
The European Parliament’s Legislative Train schedule search result showed the CO₂-standards and vehicle-labelling revision as “Tabled” in its June 2026 update. That record does not establish whether the proposal advanced after that update. European Parliament Legislative Train
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Until the proposal completes the EU legislative process and becomes law, the existing 2035 target remains the relevant legal baseline. The proposed small-car credits, revised 2035 target and other flexibilities should be described as proposals, not current requirements.
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