EU Tries to Find Middle Ground with Vehicles that Run Only On E-Fuels

The European Commission seeks to create a new vehicle category that’s somewhere between internal combustion engine (ICE) cars and electric vehicles to buy time as it resolves a negotiation with Germany on phasing out combustion engine vehicles.

The commission seeks to allow sales of new ICE cars after 2035 provided that they run only on carbon-neutral or e-fuels and be equipped with technology that would prevent the engine from running when another type of fuel is used, according to a draft proposal seen by Reuters on Tuesday.

E-fuels, which aren’t currently produced at scale, are created through a synthesis of captured CO2 emissions and hydrogen from CO2-free electricity.

Last year, EU countries and the European Parliament agreed on passing a law to begin phasing out ICE vehicles by 2035 after months of negotiations. Germany’s Transport Ministry surprised the bloc when it submitted last-minute objections to the law, just days before the final vote to enforce the law.

Germany’s Transport Ministry’s main demand is that the EU continues to allow sales of new combustion cars in the new e-fuel category after 2035, but the Commission’s condition of adding technology that would recognize e-fuels from fossil fuels might prove problematic as it would mean that carmakers would need to develop new engines to include that capability. 

Sources familiar with the matter told Reuters that Transport Minister Volker Wissing was not interested in rejecting the Commission’s proposal, instead, they would like to make some improvements to it. Talks are ongoing between the Ministry and the Commission, and they are targeting to secure an agreement by the EU summit on Thursday.

According to an EU official, the combustion engine phaseout law beginning in 2035 must first be adopted before any proposal for registering e-fuel engines is made.


Information for this briefing was found via Reuters, and the sources and companies mentioned. The author has no securities or affiliations related to the organizations discussed. Not a recommendation to buy or sell. Always do additional research and consult a professional before purchasing a security. The author holds no licenses.

Video Articles

Why This Gold Company Keeps Spinning Out Assets | John-Mark Staude – Riverside Resources

Could This Be Canada’s Next Mid-Tier Gold Producer? | Kevin Bullock – NexGold

Silver at $75 and Why U.S. Silver Ounces Are Getting Hard to Find | Galen McNamara – Silver47

Recommended

Why This Gold Company Keeps Spinning Out Assets | John-Mark Staude – Riverside Resources

Silver at $75 and Why U.S. Silver Ounces Are Getting Hard to Find | Galen McNamara – Silver47

Related News

Climate Activist Greta Thunberg Calls Germany’s Nuclear Exit “A Mistake”

Swedish climate activist Greta Thunberg believes it is irresponsible to shut down Germany’s still operational...

Tuesday, October 11, 2022, 02:20:00 PM

EU Antitrust Watchdog Opens Broad AI Stack Probes — Cloud, Data, and Chatbot Markets All in Scope

The European Commission is targeting nearly every layer of the artificial intelligence value chain —...

Monday, March 23, 2026, 12:54:00 PM

Exxon Warns Exit Without Softer EU Due Diligence Directive

ExxonMobil warned that it may be unable to continue operating in the European Union unless...

Tuesday, November 4, 2025, 03:07:00 PM

EU Inflation Soars to Record-High Thanks to Skyrocketing Food and Energy Costs

It appears European consumers’ wallets won’t be getting a break anytime soon. Prices across the...

Wednesday, October 19, 2022, 01:42:46 PM

EU Leaders Finally Agree on $858 Billion Bailout, $1.3 Trillion Budget to Rebuild Coronavirus-Stricken European Economy

Since the beginning of the coronavirus pandemic, the European Union has been dealing with a...

Wednesday, July 22, 2020, 06:54:00 PM