CCCEU Automotive Working Group's Response to the European Commission's "Automotive Industrial Action Plan"

Support for Key Proposals and Concerns Over CO2 Targets and EV Growth

March 6, 2025, Brussels

The CCCEU Automotive Working Group (AWG) welcomes the European Commission's "Automotive Industrial Action Plan," published on March 5, 2025, which outlines measures aimed at enhancing the sustainability and competitiveness of the European automotive sector.

The CCCEU AWG supports several key proposals in the plan, such as establishing large-scale cross-border testbeds for autonomous driving, stimulating electric vehicle (EV) demand—especially in corporate fleets—and accelerating the deployment of essential charging infrastructure across the EU. These measures are viewed as important steps toward the automotive sector's shift to sustainable mobility.

However, the CCCEU AWG expresses concern over the proposed relaxation of the 2025 CO₂ emissiontargets for car manufacturers in Europe. This change might disrupt short-term EV sales and undermine investment certainty, particularly for players that have invested a lot in the new energy vehicle sector. The CCCEU AWG urges the European Commission to uphold strict CO2 targets to ensure sustained growth and progress in the EV market.

The CCCEU AWG is seeking further details on the proposed European content requirements and sustainability criteria for battery cells and EV components. It is essential that these conditions, especially those affecting foreign investments, remain fair, transparent, and balanced to avoid deterring vital sector investments, economic growth, and competitiveness for Europe.

Hui Zhang, the Chair of the CCCEU Automotive Working Group, commented:

"The European Commission's proposal to establish large-scale, cross-border testbeds for autonomous driving offers a valuable opportunity for our members to deepen existing collaborations with European partners. It allows us to pool our collective expertise and accelerate advancements in autonomous driving technologies through shared knowledge and stronger partnerships."

"However, we are concerned about the proposed weakening of the 2025 CO2 limits. This could undermine the progress we've made in driving EV adoption and introduce uncertainty for investors. We strongly urge that the Commission reaffirm the 2035 and 2040 zero-emission vehicle sales targets in its upcoming review."

The CCCEU AWG is committed to collaborating with all stakeholders and calls for inclusive dialogues involving all parties to ensure that the automotive sector's transition to sustainable mobility is underpinned by effective policies that drive innovation, investment, and growth.