EU Environment Council meets to discuss vehicle emissions and production policy

On March 17, 2026, the EU Environment Council met in Brussels under the Cypriot presidency. Cypriot Minister of Transport Alexis Vafeades and Climate Commissioner Wopke Hoekstra led discussions on amending CO2 emission standards for cars and light commercial vehicles. A primary focus was the European Commission's proposal to support "made in EU" small electric vehicles through a system of supercredits. The proposal includes incentives for using low-carbon steel produced within the European Union and aims to bolster regional industrial competitiveness and employment. Additionally, the Council addressed the 2040 climate goals, preparations for the upcoming UN Climate Change Conference (COP), and bioeconomy policy conclusions. Discussions also touched upon technical flexibility for manufacturers and maintaining the path toward zero-emission mobility. Some sources indicate the proposed 2035 emission target reduction is 90%, emphasizing the need to balance environmental goals with industrial innovation.