Leading figures within the European People’s Party (EPP), specifically from the German Union faction, are intensifying calls for significant revisions to the European Commission’s automotive package, sparking a debate over the pace and direction of Europe’s transition towards electric vehicles. Concerns are mounting that the current framework threatens the competitiveness of the German Mittelstand and risks undermining the broader European automotive industry.
Gitta Connemann, head of the Mittelstands- und Wirtschaftsunion (MIT), a key EPP affiliate, voiced her discontent to Politico, stating that “Brussels urgently needs to adjust course”. The Commission’s recent softening of its stance on internal combustion engine vehicles – lowering the target for CO2 reduction in new car fleets from 100% to 90%, conditional on the use of green steel or low-emission fuels- has been met with skepticism. CSU parliamentary group leader Alexander Hoffmann echoed this sentiment, expressing confidence that “substantial changes” to the Commission’s proposal are inevitable. He cautioned that the easing of restrictions cannot remain merely a “hollow phrase.
While the general timeline for a de facto ban on new gasoline and diesel vehicles remains 2035, the stricter regulations applying to company car fleets, which dominate the German new car market, present a particularly thorny issue. The mandated 95% electric company car fleet by 2035, extending to existing vehicles as well, is drawing criticism.
Connemann’s disapproval was particularly sharp regarding the proposed regulations for commercial vehicle fleets, dismissing them as “unacceptable”. She warned of a scenario with “only losers” arguing that “quotas and regulation do not lead to a surge in electric mobility. And they damage the German Mittelstand”. The suggestion of differentiated requirements for individual EU member states is also being characterized as a “self-imposed disadvantage.
Hoffmann underscored the need for genuine technological openness and planning certainty beyond 2035, rejecting what he termed “formula compromises” that ultimately create a disadvantage in comparison to other global regions. He emphasized that the German and European automotive industries require a more flexible and pragmatic approach, reflecting the concerted pressure the Union has exerted in the lead-up to the Commission’s decision. The debate now centers on whether the Commission will yield to these pressures and fundamentally restructure the automotive package to address these mounting concerns about competitiveness and the viability of the transition.