Short answer: the European Union has not reversed its 2035 new-car rule. Regulation (EU) 2023/851 still sets a 100% reduction target for the average tailpipe emissions of new cars and vans from 2035. The European Commission has proposed reducing that target to 90%, with the remaining 10% covered by specified compensation mechanisms, but the proposal was still under discussion in the Council on 25 June 2026. It does not ban owning or driving a petrol or diesel car you already have.
If adopted, the change could make it legally possible for some plug-in hybrids, range extenders, mild hybrids and combustion-engine vehicles to remain part of manufacturers’ post-2035 portfolios. It would not guarantee that any particular model will continue, nor would it make every existing petrol car legal to sell as new. Your practical decision still depends on when you buy, how you charge, which models manufacturers choose to build and rules in your country.
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What the EU rule says today
The rule in force is a fleet standard for manufacturers’ newly registered cars and vans. The Commission’s Cars and vans policy page lists a 100% reduction target from 2035 compared with the regulation’s reference baseline. In practical shorthand, this is often called an EU petrol-car ban, but that description is too broad: the law addresses the average emissions of new vehicles registered by manufacturers, not the ownership, maintenance or use of vehicles already on the road.
Individual manufacturer targets are derived from fleet-wide targets and the mass of vehicles registered by that manufacturer. A fleet rule therefore does not mean that every car sold today must meet one identical number, and it does not give a buyer a right to a particular drivetrain.
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| Policy item | What the official material says | What it means for a buyer |
|---|---|---|
| 2035 rule currently in force | 100% reduction target for average tailpipe emissions from new cars and vans. | It is the legal baseline unless legislators amend it. |
| Commission proposal announced in December 2025 | 90% tailpipe-emissions reduction from 2035, with the remaining 10% compensated through low-carbon steel made in the EU or credits from e-fuels and biofuels. | Some non-zero-emission new vehicles could remain possible, but only under the final law and manufacturers’ compliance plans. |
| Status located on 25 June 2026 | Council discussions continued; the 2030 and 2035 targets and manufacturer flexibilities were still outstanding issues. | The proposal itself has not replaced the current rule in the status record available for this article. |
| Near-term flexibility already adopted | Compliance with 2025, 2026 and 2027 targets is assessed over the three years together rather than separately each year. | This changes short-term manufacturer accounting, not the proposed 2035 standard. |
The Commission’s automotive package contains the proposal and related measures. Because negotiations can change both legal text and dates, check the Commission and Council files again before making a purchase decision based on a presumed rollback.
What the proposed 90% target would change
It is a tailpipe target, not a 90% electric-car quota
The 90% figure describes the reduction in manufacturers’ average tailpipe emissions relative to the applicable baseline. It is not a requirement that 90% of cars sold be battery-electric, and the remaining 10% is not an automatic exemption for any vehicle a manufacturer wants to sell. A company would have to meet the final fleet calculation and any conditions attached to the compensation system.
Compensation would cover the remaining emissions
Under the Commission’s proposal, the residual 10% could be compensated through low-carbon steel produced in the Union or credits linked to e-fuels and biofuels. The details of eligibility, accounting and verification matter: a drivetrain that appears technically possible under a 90% target could still be uneconomic or unavailable if a manufacturer cannot obtain the necessary credits or materials.
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Several powertrains could remain possible
The Commission says the proposal would allow plug-in hybrids, range extenders, mild hybrids and combustion-engine vehicles to play a role beyond 2035 alongside battery-electric and hydrogen vehicles. “Could” is important. The proposal does not preserve every current model, require a minimum number of hybrid models or compel a company to keep producing an engine. Manufacturers will decide which vehicles fit their costs, platforms, supply contracts and customer demand.
Other package measures are separate
The same package discusses super credits for small affordable electric cars made in the EU, banking and borrowing mechanisms for 2030–2032, and a lower 2030 van target. Those measures should not be treated as changes to the proposed 2035 passenger-car target. A concession for a small electric car, for example, does not create a blanket right to sell a petrol hatchback after 2035.
What a rollback would not mean
Your existing petrol or diesel car would not be automatically scrapped
Neither the current 2035 rule nor the proposal orders owners to surrender cars they already own. The measure is about new registrations and manufacturer fleets. You could still face separate local rules, such as low-emission zones, taxes, inspection requirements or restrictions in a particular city or country, but those are not created by the EU fleet target itself.
It would not guarantee a particular model
EU legislation sets the manufacturer framework; it does not determine the exact model range in Germany, France, Ireland or any other market. A brand might discontinue an engine because of development cost even if the law permits it. Another might offer a plug-in hybrid only in selected countries. Dealer stock, national incentives and homologation decisions can change faster than the legislation.
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It would not make today’s used-car market predictable
The official policy documents do not establish future new-car prices, used-car values, fuel costs, insurance premiums or climate outcomes. A legal possibility for combustion vehicles is not a forecast of resale values or ownership costs.
Where the legislative process stood
The latest status located for this article is the Council’s Environment Council discussion of 25 June 2026. The Council said member states were still examining the revision and identified the 2030 and 2035 targets and flexibilities for manufacturers as unresolved issues. The Council’s road-transport policy page likewise describes the proposal as under examination.
This means headlines such as “the EU has reversed the ban” go beyond the documented status. A Commission proposal is not law. The existing 100% target remains the reference point until an amendment is formally agreed, adopted and brought into force. Legislative negotiations can also alter the percentage, the compensation rules, dates or definitions before adoption.
During the March 2026 Environment Council discussion, Cyprus transport minister Alexis Vafeades said: “The best way to support the automotive industry in Europe, and the millions of jobs that depend on it, is to promote innovative and sustainable solutions in pursuing the path to clean mobility.” The statement illustrates the policy tension: governments are weighing industrial competitiveness and employment alongside emissions reduction, rather than simply choosing one technology for every buyer.
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Even without a legal rollback, manufacturers are already changing their fleets. The Commission reports that average emissions from new passenger cars fell 28% between 2019 and 2024, while average new-van emissions fell 9% over the same period. In 2024, zero-emission vehicles represented 14.5% of new car registrations and 6.4% of new van registrations in the EU, Norway and Iceland.
| Indicator | Official figure | Qualification |
|---|---|---|
| Passenger cars’ share of EU total CO2 emissions | Around 16% | European Commission estimate for passenger cars. |
| Vans’ share of EU total CO2 emissions | Around 3% | European Commission estimate for vans. |
| Average new-car emissions, 2019–2024 | Down 28% | Commission-reported change. |
| Average new-van emissions, 2019–2024 | Down 9% | Commission-reported change. |
| Zero-emission share in 2024 | 14.5% of new cars; 6.4% of new vans | EU, Norway and Iceland registrations. |
| Fleet-wide targets for 2025–2029 | 93.6 g CO2/km for cars; 153.9 g CO2/km for vans | Targets for fleets, not a promise about an individual vehicle. |
The car industry’s economic scale helps explain the political pressure. The Council cites about €1 trillion of GDP and three million direct or indirect jobs for the EU car sector. The Commission’s broader “Boosting the European car sector” page cites 13 million jobs and 7% of EU GDP for the wider European car industry. Those figures use different stated scopes and should not be read as directly interchangeable.
How to apply the uncertainty to your buying decision
If you need a car now
Choose on today’s requirements, not on an assumed 2035 amendment. Compare the vehicle’s warranty, charging or refuelling access, usable space, driving pattern and local rules. The proposed rollback does not alter the legality of a car you can buy under the current model year, and waiting solely for a legislative outcome may leave you without the transport you need.
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If you plan a new-car purchase near 2035
Keep the timing flexible and track the final legislation. A vehicle ordered before a legal change, registered after it or imported from another country can be subject to different rules, so ask the seller which date controls in your jurisdiction. Do not assume a model announced as a future hybrid will still be sold when you are ready to buy.
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Prioritise the use case you can verify: annual distance, cold-weather needs, access to home or workplace charging, towing, passenger space and the availability of service. Policy uncertainty is only one risk. A drivetrain that suits your routine today can remain practical regardless of whether the EU ultimately retains a 100% target or adopts a qualified 90% target.
Independent reader supportYour contribution helps us test, update, and keep practical guides available for everyone.What each powertrain possibility means in practice
Battery-electric vehicles
Battery-electric cars remain fully compatible with both the current rule and the proposed framework. They are the clearest way for a manufacturer to reduce tailpipe emissions to zero, but the policy documents do not provide country-level charging costs, range guarantees or infrastructure forecasts. Check those locally rather than inferring them from the EU target.
Plug-in hybrids
A plug-in hybrid could remain possible under the proposal if the manufacturer’s fleet meets the final requirements and the compensation provisions operate as intended. Its real-world usefulness depends on regular charging and trip length. The proposal does not promise that today’s plug-in-hybrid models, or their successors, will be available in every country.
Range extenders
A range-extender vehicle normally uses electric drive with an engine or generator for additional energy. The Commission names range extenders among the technologies that could play a role after 2035. Availability would still depend on final rules, certification and a manufacturer’s product strategy.
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Mild hybrids may be included in the possible post-2035 mix, but their continued sale would have to fit the fleet calculation. A legal opening does not mean that a mild-hybrid model will meet the required average without credits or other compliance measures.
Combustion-engine cars
Combustion engines could remain possible in limited circumstances under the proposed 90% framework, subject to compensation and the final legislation. That is different from saying that conventional petrol and diesel cars will continue unchanged or in today’s numbers.
Information you should request from a dealer
- Ask which rule applies to the vehicle’s registration date. Distinguish the law in force from proposals discussed by the Commission and Council.
- Confirm the exact powertrain and fuel type. Marketing labels can group full hybrids, plug-in hybrids, mild hybrids and range extenders together even though their charging and driving requirements differ.
- Check the model’s country availability. EU-level targets do not ensure that a model is homologated, stocked or incentivised in your country.
- Review the official vehicle label and specification sheet. The Council says the proposal would provide information on CO2 emissions, fuel and electric consumption and electric range. These labelling provisions are proposed, not confirmed adopted requirements.
- Get ownership assumptions in writing. Ask about warranty coverage, servicing intervals, charging equipment, towing limits and any restrictions that apply locally.
Questions the EU proposal cannot answer for you
- It cannot tell you the price of a 2035 car, because no final model list or pricing schedule has been adopted.
- It cannot tell you whether a particular manufacturer will keep an engine, hybrid or range-extender line.
- It cannot replace national information about purchase incentives, company-car taxation, urban access zones or charging networks.
- It cannot establish future fuel, electricity, insurance or second-hand values.
Bottom line for buyers
Treat the 2035 change as a live legislative question, not a completed rollback. The law currently points to a 100% reduction target for new cars and vans; the Commission’s proposal would move to 90% with compensation routes that could leave room for selected hybrid and combustion technologies. As of the Council’s 25 June 2026 discussion, those targets and flexibilities were unresolved. You can keep driving an existing petrol or diesel car, but whether a particular new model survives after 2035 will depend on the final EU text, manufacturer choices and the market in your country.
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