2035 Car Ban

Germany and France have provisionally agreed to replace the 100% zero-emission requirement for new cars in 2035 with a 90% emissions-reduction target, without compensation for the last 10% via low-carbon steel or alternative fuels. The scope of "Made in Europe" production requirements, which Paris wants tied to the deal, is still unsettled. Other governments and Parliament must still agree.

Spain opposes dropping the zero-emission objective. Parliament's transport committee has postponed its vote, and a plenary vote is planned for 23 November.

Summit and Carbon Market

At the 15 October summit, leaders committed to updating the assessment of ETS2 and reviewing its design and safeguards for vulnerable households. Italy, Czechia, Poland, Hungary, Slovakia and Greece pressed for delay or suspension, but other states opposed it. Ministers hear the case for a two-year ETS2 postponement on 28 October.

Energy and Budget

Leaders backed the Commission's one-year delay to methane rules for imported oil and gas, which Parliament and Council must still approve. Poland rejects routing 30% of ETS auction revenue into the EU budget and may block the 2028-2034 package.