Leaked: Car Industry’s Latest Demands Could Cost EU Extra €74 Billion

Leaked ACEA Document Reveals Car Industry’s Push to Weaken EU CO2 Targets—Could Cost €74 Billion in Extra Oil Imports

A leaked internal document from the European Automobile Manufacturers’ Association (ACEA) has sparked outrage after revealing industry demands to slash stricter EU car CO₂ targets—potentially costing Europeans €74 billion extra in oil imports and delaying affordable electric vehicle (EV) access.

The 2026 document, obtained by CleanTechnica and analyzed by Transport & Environment (T&E), shows ACEA urging EU Environment Ministers to weaken upcoming CO₂ emissions standards for new cars. According to T&E’s analysis, such a rollback would not only undermine the EU’s climate goals but also prolong Europe’s dependence on fossil fuels—costing consumers and national budgets billions in avoidable oil imports at a time when EV adoption is surging across the continent.

What the Leaked ACEA Document Says

The internal ACEA briefing, addressed to EU member state environment ministers, reportedly advocates for:

• Diluting post-2035 CO₂ targets, including softening or delaying the 100% zero-emission vehicle (ZEV) sales mandate set for 2035;
• Introducing “flexibility mechanisms” that would allow automakers to offset emissions reductions by investing in non-mobility carbon credits;
• Slowing the pace of decarbonization beyond what was agreed in the 2023 EU Clean Vehicles Package.

This move comes despite overwhelming market evidence that EVs are now outselling internal combustion engine (ICE) vehicles across several major European markets—including Germany, France, and the Netherlands—and that consumer demand for affordable EV options is at an all-time high.

€74 Billion in Avoidable Oil Imports

T&E’s modeling reveals that weakening CO₂ targets could result in an additional 150 million tonnes of CO₂ emissions by 2040—equivalent to adding over 30 million new ICE cars to the road. This would also trigger a ripple effect across energy markets:

• €74 billion in extra oil imports by 2040, as demand for petrol and diesel remains artificially propped up;
• ~5.5 million barrels of crude oil per day that would still need to be imported—mostly from volatile regions;
• Increased exposure to geopolitical risk, as highlighted by recent disruptions in the Red Sea and Middle East supply chains.

“This isn’t just about climate targets—it’s about energy security, economic resilience, and consumer choice,” said T&E’s Head of Cars, Jamesont Johnson. “Rolling back on emissions standards means locking in fossil fuel dependence for another two decades—while Europeans miss out on cheaper-to-run EVs.”

Affordability Gap Threatened by Delayed Decarbonization

A central concern raised by T&E is that weakening CO₂ rules could deprive motorists of more affordable EV models. Historically, stringent emissions standards have driven economies of scale in battery production and vehicle manufacturing—driving down costs.

For example:

• The VW ID.3, launched in 2020, was made possible by EU’s prior CO₂ penalties for non-compliance;
• Stellantis’ SevelEV plant in France—set to produce 500,000 EVs/year by 2026—is a direct response to the 2035 ZEV mandate;
• Battery prices have fallen 90% since 2010, largely due to policy-driven demand signals from the EU and other regulated markets.

Without continued regulatory clarity, automakers may delay or scale back investments in mass-market EV platforms—keeping ICE vehicles dominant—and keeping EV price premiums high for years longer than necessary.

EU Public Support Remains Strong

Despite industry pressure, public backing for EVs and climate action remains robust. A 2026 Eurobarometer survey found that 78% of Europeans support the 2035 ban on new ICE cars, while EV purchase intent rose to 39%** in Q1 2026—the highest ever recorded.