The German automotive industry has cautiously welcomed the recent shift in the German government’s position on the planned ban of internal combustion engine vehicles, while simultaneously urging swift action from the European Commission. Hildegard Müller, President of the Association of the Automotive Industry (VDA), expressed approval for the government’s move towards more technology-open solutions, potentially allowing plug-in hybrids and highly efficient combustion engines beyond the current 2035 deadline, alongside a greater role for carbon-neutral fuels.
Müller’s remarks, released in an interview with the “Rheinische Post” highlight a growing unease within the German automotive sector regarding the potentially crippling effects of overly restrictive regulations. While substantial investments continue to be directed toward electric mobility – currently accounting for roughly 40% of vehicles produced in Germany – she cautioned against the pitfalls of outright bans, drawing a clear parallel to the contentious debate surrounding Germany’s heating law and the subsequent public resistance.
The VDA President’s statement carries significant political weight, implicitly criticizing the EU Commission’s initial trajectory while emphasizing the need for a more pragmatic approach. The argument extends beyond domestic concerns, pointing to the substantial export markets in China and India, nations with populations nearing three billion, which are not implementing comparable combustion engine phase-out timelines. Maintaining access to these crucial markets requires flexibility, Müller argues, rather than rigid regulations and the threat of hefty fines.
Furthermore, Müller’s criticism subtly questions the perceived lack of trust between policymakers and the automotive industry. She advocates for allowing companies the freedom to innovate and adapt to evolving market demands, rather than being subjected to prescriptive dictates emanating from Brussels. The EU Commission is expected to present revised proposals regarding the combustion engine ban as early as next week and the pressure is now squarely on them to navigate the delicate balance between environmental ambition and economic viability within Europe’s largest industrial sector. The upcoming decisions will be critical in shaping the future of the automotive industry and its ability to compete globally.
