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According to reports, three people familiar with the matter said that German Chancellor Mertz and French President Emmanuel Macron reached an agreement on the automobile industry: France made concessions to Germany on the issue of eliminating fuel vehicles. In exchange, Germany made compromises on the requirement to “buy European products.” According to current EU regulations, by 2035, the average carbon dioxide emissions of newly registered vehicles must be reduced by 100% compared to 2021 levels, which means that the upper limit of vehicle fleet emissions is 0 grams of carbon dioxide per kilometer, which is actually equivalent to banning the sale of fuel vehicles. The European Commission previously proposed easing this ban in December 2025 under pressure from Germany. According to the European Commission's plan, automobile carbon dioxide emissions must be reduced by 90% by 2035. The remaining 10% of the emission allowance can be offset by automakers using low-carbon European steel as well as e-fuels and biofuels. Mertz's and Macron's plans will go further than the European Commission's proposals. EU diplomats said that the two sides have agreed on a general framework, but the details are still being negotiated.
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According to reports, three people familiar with the matter said that German Chancellor Mertz and French President Emmanuel Macron reached an agreement on the automobile industry: France made concessions to Germany on the issue of eliminating fuel vehicles. In exchange, Germany made compromises on the requirement to “buy European products.” According to current EU regulations, by 2035, the average carbon dioxide emissions of newly registered vehicles must be reduced by 100% compared to 2021 levels, which means that the upper limit of vehicle fleet emissions is 0 grams of carbon dioxide per kilometer, which is actually equivalent to banning the sale of fuel vehicles. The European Commission previously proposed easing this ban in December 2025 under pressure from Germany. According to the European Commission's plan, automobile carbon dioxide emissions must be reduced by 90% by 2035. The remaining 10% of the emission allowance can be offset by automakers using low-carbon European steel as well as e-fuels and biofuels. Mertz and Macron's plan will go further than the European Commission's proposal. EU diplomats said that the two sides have agreed on a general framework, but the details are still being negotiated.
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