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On May 6, 2025, the European Parliament endorsed less stringent carbon dioxide emission targets for passenger cars and light commercial vehicles. This measure is designed to provide European automakers with additional time to comply and alleviate the risk of financial penalties. Earlier, on April 1, the European Commission had proposed amendments that offered greater flexibility in meeting the new emission reduction targets. The amendments allow manufacturers to assess compliance based on the average emission levels over a three-year period from 2025 to 2027, thereby balancing out any excess emissions in individual years. This strategy aims to protect the automotive industry's investment capacity in the transition to cleaner technologies and facilitate a seamless transformation for the sector.
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