EU effectively bans fossil fuel cars by 2035

The European Parliament has passed a new law that will speed the switch to electric cars by stipulating new, accelerated targets.

Why it matters

Growing demand for electric vehicles have caused numerous brands problems, while the rising cost of credit has made buying cars more difficult for consumers. The car industry is set for deep changes, and this law will hope to accelerate the shift to electric, even if it will be difficult for car marques to maintain business as usual.

The news

Reuters reports that the European Parliament formally approved the law this week, adopting rules that will set a legal target of a 100% cut in CO2 emissions from new cars sold and a 55% cut in emissions by 2030.

• In effect, it means that new petrol or diesel-fuelled vehicles will be impossible to sell beyond that deadline. Final approval is set to happen in March.
• The rules come as the imperative to control greenhouse gas emissions from the automotive sector gains momentum among not only lawmakers but the consumers voting with their wallets.
• The move piles pressure on auto makers to shift their productions (which is not a simple process).

Sourced from Reuters