EV leaders in Europe return fire against Ford, Stellantis pressure campaign
U.S. original equipment manufacturers have been vocal over the past few days about European Union environmental regulations. European lawmakers are expected to unveil their new draft proposal for an environmental law on Wednesday, and executives from Stellantis and Ford are contributing their ...
U.S. original equipment manufacturers have been vocal over the past few days about European Union environmental regulations.
European lawmakers are expected to unveil their new draft proposal for an environmental law on Wednesday, and executives from Stellantis and Ford are contributing their perspectives to the conversation.
Ford Model e losses by year
- 2025: $3.6 billion (year to date)
- 2024: $5.1 billion
- 2023: $4.7 billion
- 2022: $2.2 billion
Last week, John Elkann, Stellantis chairman, spoke publicly about the legislation, stating that the auto industry has shared its own package of proposals to help shape the legislation, as concerns persist that the EU will strengthen its emissions targets and mandates to phase out the sale of internal combustion engines.
“There is another way to cut emissions in Europe in a constructive and agreed way, restoring the growth we have lost and people’s needs,” Elkann said. If it doesn’t, he says, the European auto industry risks an “irreversible decline.”
The EU has already set a goal of reaching zero exhaust-pipe emissions for new cars by 2035.
On Monday, Ford CEO Jim Farley brushed off his typewriter and wrote an op-Ed in the Financial Times entitled “Europe is risking the future of its auto industry.”
In the letter, Farley said the auto industry was looking at Europe “with concern – again” as it awaits the latest update to emissions rules. The central thesis of his argument is that the EU can not mandate EV demand.
“The elephant in the room is that European customers — both individuals and businesses — simply are not buying EVs in big numbers,” Farley said.
On Wednesday, European EV makers responded. Photo by Maryam Majd on Getty Images
European EV makers push back against U.S. efforts to 'dilute' emissions standards
The EU Commission is scheduled to unveil a new automotive policy next week, on December 16, so affected entities on both sides of the issue are making their positions known.
A joint letter from campaign groups ChargeUp Europe and E-Mobility Europe, featuring nearly 200 signatories, including Swedish automakers Polestar and Volvo, called for emissions targets to remain unchanged.
Related: Stellantis warns this issue could destroy the European auto industry
"We are deeply concerned about recent efforts to dilute your objectives," the letter said. They also said taking the transitional technology route that features plug-in hybrids is a mistake because it would create uncertainty and slow the shift to EVs.
It wasn't all bad news for EV advocates.
On Wednesday, E-Mobility Europe praised the European Commission's new European Grids Package policy proposal, which it says streamlines the process for expanding EV charging infrastructure.
"The European Grids Package sends a strong signal that Europe is serious about tackling grid bottlenecks, with fast-tracked permits, overriding public-interest status for grid projects, one-stop shops, and digitalised procedures, all reflecting long-standing market needs. Prioritising grid connections based on project maturity rather than a first-come, first-served approach is also a welcome reform," the group said in a letter.
Ford CEO Jim Farley has solution for EU automotive issues
Farley didn’t spend the entire op-Ed pointing out the industry’s obvious issues; he also offered a couple of solutions.
“We need to incentivise this transition. European manufacturers have invested hundreds of billions in EVs,” Farley said. “Governments must match that commitment with consistent incentives to buy them and a charging infrastructure that extends beyond wealthy urban centers into rural areas.”
Farley said they should eliminate regulations that treat vans “like luxury sedans.” Farley called the tax on commercial vehicles a tax on the “backbone of Europe’s economy.”
“These are tools for plumbers, florists and builders. Aggressive carbon targets on commercial vehicles unfairly penalize the small and medium-sized businesses that generate more than 50% of Europe’s GDP,” Farley said.
Related: Ford CEO Jim Farley has a stark warning for Europe
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