Italy pushes for early review of EU's 2035 combustion engine ban

Italy is set to present an official proposal this week to expedite the European Union's planned review of its ban on new internal combustion engine car sales from 2035. The announcement, made by Industry Minister Adolfo Urso on Monday, signals a growing pushback against the EU's ambitious Green Deal initiative.

The proposal, which aims to bring forward the review to next year rather than the originally scheduled 2026, will first be discussed by Italy's national delegation of EU lawmakers on Wednesday. Following this internal deliberation, it will be officially presented at a meeting of EU industry ministers on Thursday, marking a significant step in Italy's campaign to modify the bloc's environmental policies.

Italy's stance reflects a broader sentiment among a group of EU countries that are increasingly sceptical of the European Commission-led Green Deal, which aims to tackle climate change and reduce pollution. Prime Minister Giorgia Meloni has been particularly vocal in her criticism, often characterising the proposals as "ideological" rather than practical.

Minister Urso, addressing a gathering of business associations and trade unions, emphasised the urgency of the situation. "We believe it's absolutely necessary to modify the direction of EU industrial policy," he stated, adding that "the automotive sector is the one where a change from the Green Deal is most required." This statement underscores Italy's concern about the potential economic implications of a rapid transition to electric vehicles.

The current EU legislation, approved in March 2023, mandates that all new cars must have zero CO2 emissions from 2035, effectively banning the sale of new diesel and petrol vehicles. This landmark law was designed to accelerate the shift towards electric vehicles, leaving the market almost exclusively to battery-powered cars. However, the EU Commission had originally scheduled a review of this legislation for 2026 to assess technological advancements in hybrid vehicles and their potential compliance with the 2035 goals.

Italy's push for an earlier review comes amidst growing concerns about the impact of this transition on Europe's automotive industry. Prime Minister Meloni recently described the planned phase-out of internal combustion cars as a "self-destructive" decision, arguing that it is causing significant damage to the continent's auto sector.

The Italian government's position appears to be supported by recent market trends. Several automakers have begun scaling down their electric vehicle roll-out plans due to lower-than-expected demand. This development has prompted the European auto lobby ACEA to call for "relief" from the EU on intermediate CO2 targets for cars and vans set to take effect in 2025.

However, the automotive industry is not unanimous in its stance. Stellantis, Europe's second-largest automaker and owner of Italy's iconic Fiat brand, has voiced opposition to any delay in implementing EU emission targets set for next year. Carlos Tavares, CEO of Stellantis, has publicly stated the company's commitment to meeting these environmental goals, highlighting the complex and diverse perspectives within the industry.

Italy's proposal comes at a critical juncture for the European automotive sector, which is grappling with the challenges of transitioning to more sustainable transportation while maintaining economic competitiveness. The outcome of this initiative could have far-reaching implications for the future of car manufacturing in Europe, consumer choices, and the continent's environmental objectives.

As the EU prepares to consider Italy's proposal, stakeholders across the automotive industry, environmental groups, and policy circles will be closely watching the developments. The debate surrounding this issue is likely to intensify, reflecting the broader tensions between environmental ambitions and economic realities in the face of rapid technological change.

The coming weeks will be crucial in determining whether Italy's push for an early review gains traction among other EU member states and how it might reshape the timeline for Europe's transition to zero-emission vehicles