Panter warns against watering down the combustion engine phase-out

Saxony's Economics Minister Dirk Panter has warned against turning away from the current course in view of the planned changes to the EU's ban on combustion engines from 2035. "More flexibility must not water down the direction - the course towards electromobility remains decisive," said the SPD politician on the EU Commission's adjustment plans.

Panter emphasized that planning security is key for Saxony's automotive and supplier locations. "The industry has invested billions in the transformation. Our companies need stable guard rails, not changing signals." Although the EU proposals would bring more flexibility, they should not lead to investment uncertainty.

Leeway with risk

According to the EU Commission's plans, new cars will no longer necessarily be completely emission-free after 2035. Instead of a CO2 reduction target of 100 percent, the plan is for manufacturers to reduce their fleet emissions by at least 90 percent compared to 2021.

This means that new combustion engines, hybrids or range extenders - i.e. electric cars with a small combustion engine to extend their range - could continue to be approved, provided the fleet limits are met. In addition, savings in upstream and downstream areas, for example through more climate-friendly materials, are to be taken into account.

Panter referred to the importance of coordinated decisions at European and national level. He described the German government's recently presented funding programme for electric vehicles as the right step to relieve the burden on low and middle-income households in particular and stabilize demand. "A functioning mass market is a prerequisite for our plants to be able to operate at full capacity and for innovations to find their way onto the market," said the Minister.

Tempo negotiable, target not

At the same time, Panter set clear expectations for the EU and the federal government: "When we talk about new rules, we must also ensure that investments remain predictable and that the market for electromobility continues to be developed consistently." Adjustments to the pace could be discussed, "but not the goal: a strong, competitive and climate-neutral automotive industry in Europe".