BERLIN (dpa-AFX) - The transport sector has long failed to meet climate targets, not just in Germany but across Europe. In response, the EU has decided that, starting in 2035, new cars with combustion engines will no longer be allowed to be registered. The aim is to further reduce the emission of climate-damaging carbon dioxide (CO2).

However, with the sluggish uptake of electric mobility, pressure is mounting from industry and the Union parties to reverse the EU decision. The government remains divided on the issue. The topic was set to be discussed today in the coalition committee. Whether a decision will be made on how Germany should position itself within the EU remains uncertain.

What is the combustion engine ban all about?

The current regulation stipulates that, as of 2035, no new cars powered by gasoline or diesel engines may be registered. This is intended to further decrease CO2 emissions from the sector.

While emissions in Germany's transport sector fell by nearly eleven percent between 1990 and 2023, according to the Federal Environment Agency, the sector continues to lag behind others like waste management or energy. Climate and environmental experts have long called for stricter requirements for the transport industry.

The EU Commission already announced in March that it would review the 2035 target later this year. The debate has been ongoing in Germany for some time.

What does the government want?

The coalition parties agree that a loosening of the regulation is necessary. According to its own statements, the SPD is chiefly concerned with preserving jobs, which it believes would be threatened by a strict ban on new registrations of vehicles with fossil-fuel engines. The party is therefore insisting on corresponding commitments from industry to protect jobs in exchange for a relaxation of the combustion engine ban from 2035.

Within the Union parties, Bavaria's Minister-President Markus Soder (CSU) is particularly vocal in calling for a complete repeal of the rules. "The end of the combustion engine ban has begun," he said following a conference of state premiers at the end of October. "This must now serve as a blueprint for an agreement within the coalition in Berlin and for the federal government's position in Europe." He argued that Europe's climate targets for 2035 are unattainable and endanger prosperity.

How is the rollout of electric mobility progressing?

Opponents of the combustion engine ban point to the sluggish rollout of electric mobility in Germany. When the EU regulation was adopted in 2022, many expected significantly higher sales figures for electric cars.

In particular, demand for battery-powered vehicles (BEVs) slumped last year, especially in Germany, partly because the government unexpectedly withdrew a purchase premium in response to the budget crisis.

According to the Federal Motor Transport Authority, sales of electric cars in 2024 fell by more than a quarter compared to the previous year. Their share of all new registrations was just 13.5 percent. The year before, almost one in five new cars (18.4 percent) was a battery-powered vehicle.

Nonetheless, demand has since recovered. In October, BEVs accounted for around 21 percent of new registrations. Across Europe, the number of electric vehicles sold in the first half of 2025 rose by about a quarter compared to the same period last year, according to a concept paper from the Commission published several months ago.

However, experts say the momentum is still insufficient to meet CO2 reduction targets. The industry remains far from the former German government's goal of having around 15 million electric cars on German roads by 2030.

What about other technologies?

The combustion engine ban currently also covers more controversial alternative drives such as plug-in hybrids. These are mainly powered by a combustion engine but also have a battery.

So-called range extenders, which are also combustion engines designed to extend the range of electric cars, will also be banned from new registrations after 2035. The SPD has already indicated that, in its view, a compromise could involve exempting such technologies from the combustion engine ban.

What is the situation within the EU?

The ball is currently in the EU Commission's court. The body, led by Ursula von der Leyen, announced--under pressure from industry--that it would review the regulation later this year. A proposal is expected before Christmas. It is conceivable that the Commission will also take the German government's position into account.

Afterward, the European Parliament and EU member states can still make changes to the proposal. In the end, a sufficient majority in both institutions is required for approval.

What will ultimately be agreed upon remains to be seen. Alongside clear advocates for reversing the combustion engine ban, there are also voices--such as from France and Spain--arguing for largely maintaining the current plan./maa/mjm/hoe/DP/zb