Commission publishes Industrial Action Plan for the European automotive sector and Communication on Decarbonizing Corporate Fleets

The European automotive sector is at critical turning point, challenged by rapid technological changes and increasing competition. To address the changes ahead, President von der Leyen in January launched a Strategic Dialogue on the Future of the European Automotive Industry, a collaborative and inclusive process designed to tackle the sector's most pressing challenges. On 5 March, the Commission put forward an Action Plan, which builds on the Strategic Dialogue, and presents concrete actions that will ensure a robust and sustainable automotive sector and help unleash its innovative power. To maintain a strong European production base and avoid strategic dependencies, €1.8 billion will be made available to create a secure and competitive supply chain for battery raw materials, which will help support the growth of the European automotive industry, writes Amy Nicholson.

The Action Plan is accompanied by the Decarbonize Corporate Fleets Communication highlighting best practice examples and encouraging member states to take further actions to green corporate fleets, which account for around 60% of new car registrations.

The role of cities in fleet decarbonization

Accelerating the uptake of zero-emission fleet vehicles is essential as the transport sector accounts for 25% of the EU’s total greenhouse gas emissions and it’s a major contributor to air pollution. In cities, adopting zero-emission vehicles significantly improves air quality and benefits public health, especially where strict low-emission zones are in place. 

Cities play a key role in decarbonising urban mobility fleets including buses, taxis, ride-hailing, and car sharing, as these services operate under local licences and regulations. Local authorities influence the shift to zero-emission vehicles through the conditions they set, making them crucial in enabling or accelerating the transition to cleaner fleets. Additionally, access to suitable recharging infrastructure and operational incentives (such as dedicated lanes or parking) are critical for enabling this transition. 

Good practice examples of fleet decarbonization initiatives in cities include:

• Taxi regulations for zero-emission vehicles: In Amsterdam (NL) by 2025, all taxis operating in the city centre are expected to be zero-emission by 2025 and after this, new taxi permits will only be granted to zero-emission vehicles. The requirement will extend to the entire municipality by 2030. Hamburg (DE) aims for its entire taxi fleet to be zero-emission by 2030, primarily through the licensing process. Both cities offer financial support, including subsidies, to support taxi operators and are expanding charging and refuelling infrastructure. 
• Recharging points at airports: Brussels Zaventem Airport (BE) has deployed 750 recharging points for passengers and staff in its parking areas and Paris will see the deployment of several hundred additional recharging points at its airports (Orly and Charles de Gaulle (FR)) by the end of 2025, including fast and ultra-fast recharging points to meet the requirements of different users including rental companies and taxi drivers.

For more information, follow the links below: 

1. Communication: Industrial Action Plan for the European automotive sector
2. Communication: Decarbonize Corporate Fleets

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