The European Commission remains committed to its 2035 deadline for phasing out internal combustion engine vehicles, while simultaneously seeking to support the automotive industry through a period of significant transition. Stéphane Séjourné, the Commission’s Vice-President for Industry, affirmed this position in an interview with the “Süddeutsche Zeitung” emphasizing the need for flexibility to mitigate potential social and economic repercussions.
Séjourné stated that while the overarching direction will not change, the Commission is evaluating avenues to provide the automotive sector with greater leeway to adapt to the shift towards electric vehicle production. He underscored the necessity of a comprehensive future business plan, particularly within the electric vehicle segment, for automotive companies.
This commitment comes following a third “strategic dialogue” with automotive industry leaders, including CEOs, union representatives and industry associations – a meeting addressing the potential for allowing the continued sale of new internal combustion engine vehicles beyond 2035.
To address the sector’s current challenges, the Commission is considering a series of support measures. These include €1.8 billion in equity support for battery manufacturers and a new legislative framework that prioritizes batteries and components produced within the European Union. Furthermore, stricter conditions are being explored for investments by foreign companies, notably from China.
Séjourné highlighted the strategic importance of batteries, stating, “Batteries are a matter of European sovereignty”. He cautioned against a scenario where Europe remains overly reliant on Chinese production over the next 25 to 30 years. Efforts will focus on ensuring the competitiveness of European batteries by securing raw materials, diversifying supply chains and reducing costs.
Séjourné also advocated for a systematic preference for European products and the potential requirement for Chinese companies to engage in joint ventures and technology transfers. He argued that Europe must protect itself from “dumping” overcapacity and unfair products in a increasingly protectionist global market. This policy, he clarified, represents strategic industrial policy rather than outright protectionism.