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DRAFT REPORT (COM(2025)0995 – C100355/2025 – 2025/0420(COD))

On the proposal for a regulation of the European Parliament and of the Council amending Regulation (EU) 2019/631 as regards CO2 emission performance standards for new light duty vehicles and vehicle labelling and repealing Directive 1999/94/EC

ENVI-PR-787667

Committee on the Environment, Climate and Food Safety · Rapporteur: Massimiliano Salini

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This is the rapporteur's draft report on the Commission proposal to amend Regulation (EU) 2019/631 on CO2 emission performance standards for new light duty vehicles and vehicle labelling, and to repeal Directive 1999/94/EC. The draft proposes to lower the 2030 EU fleet-wide target for new light commercial vehicles to a 30% reduction and the 2035 target to 80%, while keeping passenger car targets and setting the 2035 fleet-wide reduction at 90% for cars and 80% for vans. It would let manufacturers use fuel credits and low-carbon steel credits from the entry into force of the Regulation, capped at 10% and 7% of their 2021 specific emissions reference target, and introduces a category for vehicles running exclusively on eligible fuels (VEEF) counted as zero-emission. It extends averaging periods to five years for vans (2025-2029 and 2030-2034) and for cars (2028-2032), strengthens super-credits for small electric cars and vans, and maintains the utility factor for off-vehicle charging hybrid electric vehicles. It also links the definitions of "made in the EU" and "low-carbon steel" to the Industrial Accelerator Act and removes restrictions on pooling for fuel and low-carbon steel credits.

Committee position. The rapporteur proposes to amend the Commission proposal by adjusting CO2 targets for vans, extending averaging periods, introducing VEEF and credits from entry into force, strengthening super-credits, and linking "made in the EU" and low-carbon steel definitions to the Industrial Accelerator Act.

Key points

  1. Sets the 2030 EU fleet-wide CO2 target for new light commercial vehicles at a 30% reduction from the 2021 target, instead of 40%.
  2. Sets the 2035 EU fleet-wide CO2 target for new light commercial vehicles at an 80% reduction from the 2021 target, instead of 90%.
  3. Sets the 2035 fleet-wide CO2 reduction target at 90% for passenger cars and 80% for light commercial vehicles.
  4. Allows manufacturers to use sustainable renewable fuels credits and low-carbon steel credits from the entry into force of the Regulation to reach CO2 reduction targets.
  5. Caps fuel credits at 10% and low-carbon steel credits at 7% of the manufacturer's 2021 specific emissions reference target.
  6. Creates a category for vehicles running exclusively on eligible fuels (VEEF), defined as fuels meeting the sustainability criteria of Directive (EU) 2018/2001, and counts them as zero-emission.
  7. Extends averaging periods: five years for vans (2025-2029 and 2030-2034) and five years for passenger cars (2028-2032).
  8. Strengthens super-credits for small zero-emission passenger cars and vans "made in the EU", counting them as 1.5 vehicles, and introduces a 1.2 multiplier for all zero-emission N1 vehicles.
  9. Maintains the utility factor for off-vehicle charging hybrid electric vehicles (OVC-HEVs) from 2027 onwards through an amendment to Regulation (EU) 2024/1257.
  10. Removes restrictions on pooling for fuel credits and low-carbon steel credits.
  11. Links the definitions of "made in the EU" and "low-carbon steel" to the Industrial Accelerator Act (2026/0068(COD)).
  12. Adjusts the excess emissions premium formula to deduct fuel credits and low-carbon steel credits from excess emissions.

Who is affected

  • Manufacturers of passenger cars and light commercial vehicles, who gain flexibility through credits, averaging and adjusted targets.
  • Small and medium-sized enterprises (SMEs), particularly affected by van targets and costs.
  • Member states, which must record and transmit data on zero-emission vehicles including N1 category.
  • The Commission, which must adopt delegated acts on VEEF type-approval and reporting.

Figures and deadlines

  • 2030 target for new light commercial vehicles: 30% reduction from 2021 target.
  • 2035 target for new light commercial vehicles: 80% reduction from 2021 target.
  • 2035 fleet-wide reduction target: 90% for passenger cars and 80% for light commercial vehicles.
  • Fuel credits cap: 10% of the manufacturer's 2021 specific emissions reference target.
  • Low-carbon steel credits cap: 7% of the manufacturer's 2021 specific emissions reference target.
  • Averaging periods: 2025-2029 and 2030-2034 for vans; 2028-2032 for passenger cars.
  • Super-credit multiplier for small electric cars and vans "made in the EU": 1.5 vehicles.
  • Super-credit multiplier for all zero-emission N1 vehicles: 1.2 vehicles.

Legal basis: Article 294(2) and Article 192(1) of the Treaty on the Functioning of the European Union.