These are the types of internal combustion engine cars the EU will allow beyond 2035

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The new plan responds to requests from industry and the slow uptake of electric vehicles, which is below the expectations of both the European Commission and the manufacturers themselves

Patxi Fernández

Thursday, 18 December 2025, 21:02

The European Commission has presented a new automotive plan that establishes a new framework to ensure climate neutrality and strategic independence by 2050, while offering greater flexibility to manufacturers, who will be able to continue selling internal combustion engine vehicles from 2035 onwards, albeit under strict conditions.

This plan responds to requests from the EU industry to simplify regulation and the slow uptake of electric vehicles, which is below the expectations of both the Commission and the manufacturers themselves.

The new carbon dioxide emission standards now offer greater flexibility to support industry and improve technology neutrality, while offering predictability to manufacturers but maintaining the goal towards electrification.

From 2035, car manufacturers will have to meet a 90% exhaust emission reduction target, with the remaining 10% to be offset by the use of low-carbon steel made in the EU or by electrofuels and biofuels.

This opens up a new landscape for the industry, allowing several types of vehicles, in addition to electric (EV) and hydrogen vehicles, to remain relevant in the post-2035 market.

Vehicles that will benefit from this flexibility include plug-in hybrids (PHEVs), which combine an internal combustion engine with a rechargeable electric motor; range extenders, which use a small combustion engine to charge the battery; and mild hybrids, which use electric assistance (typically with a 45V battery) to reduce fuel consumption without running on electricity alone.

Even vehicles with internal combustion engines (ICE) whether diesel, petrol or conventional gas will still be sold, provided that manufacturers ensure that the use of electrofuels or biofuels allows them to meet the stringent 90% reduction target and offset the remaining 10%.

The measures also include the 'battery booster' strategy, with 1.8 billion euros in funding to accelerate the development of a fully EU-made battery value chain, and the 'automotive omnibus', which aims to reduce bureaucracy and administrative costs for European manufacturers.