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BMW CEO calls for reconsideration of Europe's petrol engine ban

BMW CEO calls for reconsideration of Europe's petrol engine ban

BMW CEO calls for reconsideration of Europe's petrol engine ban

BMW CEO Oliver Zipse urged European regulators on Tuesday to rethink their plan to ban new fossil fuel powered vehicles starting in 2035, warning that doing so could worsen Europe's overreliance on China's battery supply chain and undercut the region's technological strengths. Zipse, speaking at the Paris Motor Show, spoke of a growing pessimism in Europe’s industry and need for a new regulatory framework to make the industry competitive.

Zipse has been vocal in his support for more flexibility in automotive technology, including e-fuels, biofuels, and hydrogen fuel cells. Allowing European manufacturers to decrease their dependency on Chinese battery supplies, he said it would be okay to nudge the strict battery electric vehicle (BEV) 2035 target as part of a broader carbon dioxide reduction strategy. According to him, a strictly technology agnostic path within the policy framework is essential.

On 22nd March, EU member countries backed legislation requiring that all the new cars in the region must have zero CO2 emissions by 2035, phasing out diesel and petrol vehicles. It also dictates a 55 percent reduction in CO2 emissions from 2030 levels.

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This, however, has not stopped several automakers, including BMW, Volkswagen and Renault, or the Italian government, from expressing concerns about the ambitious targets because it could lead to fines for not selling enough EVs quickly enough. Nevertheless, Germany has rebuffed demands for an early review of the targets and pointed to the importance of regulatory clarity and the urgency of curbing climate change.

The head of France's automotive association, PFA, did not demand the complete cancellation of the 2035 ban, but stressed that the targets should be reconsidered before the planned revision in 2026. The industry is calling for this discussion for the reasons that the strict requirements require it and there may be the need for some balance between environmental goals and economic realities.

About the Author

Deepika Agrawal

Deepika Agrawal studied English Literature from Lady Shri Ram, DU and pursued PGDM at the Asian College of Journalism. She reports the latest happenings from the automotive world, ...Read More

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