Merz and Macron Proposed Easing EU Emission Targets
France and Germany have reached a deal to lower the 2035 emission reduction mandate for new vehicles to 80 percent.
Updated on Oct. 13, 2026 in Electric Vehicles
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Friedrich Merz and Emmanuel Macron have proposed reducing the European Union's car emission reduction target for 2035 from 100 percent to 80 percent. The move follows months of debate, including a December 2025 proposal that suggested a 90 percent reduction.
Why it matters
The proposal aims to support the German automotive sector as companies face mounting competitive pressure from Chinese electric vehicle manufacturers. It reflects a strategic shift to protect European industrial interests against global rivals.
The original goal mandated a 100 percent reduction in emissions for new cars by 2035, while a December 2025 proposal sought a 90 percent reduction. The new plan shifts this target to 80 percent.
The players
Friedrich Merz
He is a prominent German political figure currently leading efforts to align German industrial policy with French interests.
Emmanuel Macron
He is the President of France and a key architect of the proposed shift in European automotive emission regulations.
Ursula von der Leyen
She serves as the President of the European Commission and previously guided the policy toward a 90 percent reduction target.
The details
France agreed to stop opposing the relaxation of the combustion engine phase-out in exchange for German support regarding stricter European production requirements. This deal aligns with the March 2026 Industrial Accelerator Act, which permits the exclusion of foreign firms from certain public procurement and subsidy programs.
Timeline
In December 2025, Ursula von der Leyen proposed a 90 percent emissions reduction target for 2035.
The European Commission proposed the Industrial Accelerator Act in March 2026.
The new initiative is scheduled for formal presentation the week of October 13, 2026.
An EU summit is set to take place on October 15-16, 2026.
The target year for reaching the new emission reduction goals is 2035.
Roadmap
This policy pivot signals a move away from the strict 2035 phase-out of combustion engines as outlined in the European Union's 2035 combustion engine phase-out. It highlights the auto industry's struggle to balance aggressive environmental goals with the economic reality of losing market share to foreign competitors.
The proposed changes suggest that consumers could see a continued availability of internal combustion engine vehicles past the initial 2035 deadline. This may alter long-term vehicle purchasing strategies and provide more time for the transition to fully electric models.
The takeaway
This deal underscores the tension between achieving climate targets and maintaining the competitiveness of domestic automakers. Readers should monitor upcoming EU summit discussions to see how these revised production requirements might impact vehicle availability and pricing.
What happens next
The formal presentation of the proposal is slated for the week of October 13, 2026, followed by discussions at the EU summit on October 15-16, 2026.
Further reading
For broader context on current manufacturing regulations, visit the Electric Vehicles section.
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Should the EU weaken its carbon emission reduction targets to protect domestic car manufacturing industries?
