On April 13, Germany has intensified its campaign to persuade the European Union (EU) to loosen vehicle emission regulations, aiming to provide a much-needed boost to its struggling automotive sector. Following a coalition government discussion held in Berlin on Sunday evening (local time), German Chancellor Merz announced that the government would vigorously engage in EU negotiations to secure an agreement where emissions surpassing the 90% reduction target post-2035 would not be subject to complete offsetting. A policy document from the coalition government, disseminated in Berlin on Monday, proposed that vehicles running solely on renewable fuels (including 'advanced biofuels') should be classified as zero-emission. Simultaneously, the German government has expressed opposition to the EU's mandatory directive to elevate the share of electric vehicles in corporate fleets. Merz underscored the importance of avoiding abrupt discontinuation of key technologies and reaffirmed a position of 'complete technological neutrality' when it comes to automotive engines.
