Germany and France’s effort to weaken the European Union’s 2035 car-emissions rules faces resistance from other member states. The opposing countries argue that loosening the regulations could slow Europe’s transition to electric vehicles and give Chinese automakers more room to expand, Bloomberg reported.

Chinese brands, including BYD and Chery, accounted for 14.5% of European new-car registrations in September 2026, almost three percentage points more than in August, according to market researcher Dataforce.

France Flipped Its Position in October

In June, France joined Denmark, Spain, Luxembourg, the Netherlands, Portugal and Sweden in opposing major changes to the 2035 target, as electrive reported.

But on October 16, France and Germany reached an agreement with each other to reduce the required cut in emissions from new cars to 90% by 2035, rather than the 100% required under current EU law. Unlike the European Commission’s proposal, their plan would not require automakers to compensate for the remaining 10%. Their joint paper says renewable fuels already used in existing cars should count toward those 10 percentage points, electrive reported.

France also secured support for proposed “Made in Europe” requirements. Under the proposal, at least 70% of a car’s components would have to be made in Europe, except for the battery, for the car to qualify for public subsidies or contracts, Automotive World reported. Batteries would have a separate requirement, requiring at least 10% of their content sourced in Europe. French President Emmanuel Macron said the aim is to transform the car industry “while maintaining our climate goals and our production in Europe.”

The European Commission had already proposed a 90% target in December 2025, but its version requires manufacturers to make up the remaining 10% through credits for European low-carbon steel or cleaner fuels.

EVXL previously reported Germany’s push to allow plug-in hybrids and certain combustion-engine vehicles beyond 2035.

Parliament Committee Backs a Different Target

On November 4, the European Parliament’s environment committee backed another proposal. This proposal would require a 95% reduction in new-car emissions by 2035, but allow up to 7.5 percentage points in credits for European low-carbon steel, potentially reducing the required direct emissions cut to 87.5%.

The proposal was passed by 48 votes to 30, with two abstentions, according to electrive. The full Parliament must still vote, followed by negotiations with EU governments.

EU governments need a qualified majority, at least 15 countries representing 65% of the EU population, to adopt their position. Bloomberg reported on November 6 that the Franco-German plan faces opposition in those talks.

Germany is also divided. Its environment minister, Social Democrat Carsten Schneider, favors a stricter 95% target rather than the Franco-German proposal, according to Automotive World.

For U.S. buyers, the negotiations change nothing directly as these are negotiations for Europe’s emission regulations.

EVXL’s Take

France and Germany want to give automakers more flexibility while encouraging production in Europe. Countries resisting the change argue that maintaining stronger EV requirements would help European manufacturers compete with growing Chinese competition.

Three main approaches are now under discussion: the Commission’s 90% target with compensation, the Franco-German 90% plan without compensation, and Parliament’s proposed 95% target with credits that could lower the direct cut to 87.5%. The final rules will determine how much room will remain for new gas-powered cars after 2035.

Sources: Bloomberg, Automotive News Europe, European Commission, Euronews, electrive, Automotive World, AFP via Courthouse News, WhichCar (Dataforce figures).

EVXL uses automated tools to support research and source retrieval. All reporting is by Damien Kesteloo, edited by Haye Kesteloo.