In a letter addressed to European Commission President Ursula von der Leyen, the European Automobile Manufacturers' Association (ACEA) and the European Association of Automotive Suppliers (CLEPA) outlined their expectations for the upcoming Strategic Dialogue on the future of the European automotive industry. This collaborative effort represents a significant moment of industry consensus, bringing together manufacturers and their supply chain partners in a shared message to EU leadership.

The automotive industry is warning that meeting the strict 2030 and 2035 CO₂ targets for cars and vans is no longer realistic in the current global context. Industry leaders have urged European Commission President Ursula von der Leyen to reconsider plans for phasing out fossil fuel-powered vehicles by the mid-2030s, with Europe's auto industry calling on the EU to revisit these ambitious timelines.

The letter comes at a critical juncture for the European automotive sector, which faces mounting pressure from multiple directions: stringent environmental regulations, intense global competition, supply chain disruptions and changing geopolitical landscapes that have altered the economic calculus of the green transition.

European automotive suppliers and manufacturers have issued a joint call for the EU to recalibrate its green transition strategy, warning that without a more holistic policy framework, Europe risks undermining its industrial competitiveness. The industry's message is clear: while they remain committed to decarbonisation, the current approach needs significant adjustment to remain viable.

Industry leaders stress that the sector is ready to invest in and deliver the technologies needed for decarbonisation, but they require a more supportive and realistic policy environment to achieve these ambitious goals. This isn't a rejection of environmental objectives but rather a pragmatic assessment of what can be accomplished within the existing timeframes.

The letter serves as preparation for the Strategic Dialogue initiative, which represents the EU's recognition that the automotive transition requires careful coordination between policymakers and industry stakeholders. European automotive manufacturers and suppliers welcome the Strategic Dialogue on the future of the European automotive industry as an opportunity to drive tangible progress for the industry's competitiveness.

The automotive sector's appeal reflects broader concerns about Europe's industrial strategy in an increasingly competitive global market. With challenges from Chinese manufacturers, American protectionist policies and shifting consumer preferences, European automakers argue that inflexible regulatory timelines could weaken rather than strengthen the continent's position in the global automotive transition.

This joint letter represents more than industry lobbying; it signals a potential inflection point in EU policy toward the automotive sector. The industry's willingness to engage constructively while advocating for realistic adjustments suggests that the upcoming Strategic Dialogue could produce meaningful policy recalibrations that balance environmental ambitions with economic realities.

As Europe navigates this complex transition, the success of its automotive industry will depend on finding the right balance between aggressive environmental targets and maintaining industrial competitiveness in a rapidly evolving global marketplace.