Summary
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Details
- European Union
The regulation is mandatory for all manufacturers placing new passenger cars (category M1) or vans (category N1) on the EU market. It requires them to meet fleet-average CO₂ emission targets, submit data and comply with reporting frameworks.
While mandatory for all relevant manufacturers, there are limited flexibilities and scope details:
The regulation allows pooling arrangements between manufacturers so they can combine their fleets to meet targets.
Zero- and low-emission vehicles receive super-credits (favourable weighting) in target calculations.
Member States may apply national measures that embody the regulation but must not weaken its standards.
Specific vehicle categories (e.g., certain niche manufacturers) might benefit from transitional arrangements under the implementing legislation.
In summary, the regulation is a comprehensive and legally binding EU measure, with narrowly defined flexibilities designed to assist manufacturers in transitioning to zero-emission vehicle fleets.
Deep dive
What’s Required
This regulation sets binding fleet-wide CO₂ emission standards for new passenger cars and new light commercial vehicles (vans) registered in the EU. It obliges manufacturers to meet average CO₂ emission targets across their new vehicle fleets, and mandates that new vehicles be registered in a way that they contribute to the EU’s climate goals. From 2020 onward, the average CO₂ emissions for new cars must not exceed 95 g CO₂/km (as measured under the test procedure) and for vans 147 g CO₂/km, with stricter targets from 2025 and 2030, culminating in a 100% reduction (zero-emissions) by 2035. The regulation also enables pooling of manufacturers’ vehicle fleets, assigns super-credits for zero- and low-emission vehicles, and imposes financial penalties for non-compliance.
Important Deadlines
1 January 2020: Regulation applies to new cars and vans; 95 g CO₂/km for cars and 147 g CO₂/km for vans.
2025-2029: Intermediate targets (for example, about 93.6 g CO₂/km for cars in 2025-29) under the latest amendment.
2030-2034: Further tightened targets (for example, about 49.5 g CO₂/km for cars in 2030-34).
From 2035 onward: Fleet-wide CO₂ emissions for new cars and vans must reach zero, meaning all new vehicles must be zero-emission.
Current Status
The regulation is fully in force across the European Union and has been strengthened by amendments to align with the EU’s goal of climate neutrality by 2050. Manufacturers of new cars and vans are subject to these increasingly stringent CO₂ targets. National authorities monitor compliance and national measures enforce fleet reporting, while the regulation remains central to the EU’s strategy for reducing transport-sector emissions and accelerating electric vehicle deployment.
Penalties for Non-Compliance
Penalties for failing to meet the fleet-average CO₂ targets include hefty fines payable by vehicle manufacturers for each gram of CO₂ emitted above the target level per vehicle, multiplied by the number of vehicles registered. Member States must ensure the fines are “effective, proportionate and dissuasive”. Registration of vehicles may also be blocked if standards are not met in national implementation frameworks.
Examples of Known Violations
There are no widely-publicised EU-wide enforcement cases publicly documented in full detail under this regulation, though non-compliance is addressed at the national level through fines, reporting requirements, and manufacturer obligations.
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