Analysis
EU Throws a Wrench in 2035 Gas Car Ban: Victory or Classic Blunder?

TL;DR: The European Union's bold move to ban new gas-powered cars by 2035 may now be a pipe dream as regulators backpedal under industry pressure. While this feels like sweet relief for established automakers, it might just turn Europe into a nostalgia park for yesterday’s tech – opening the way for China and Tesla to zoom ahead.
Meta: EU’s retreat on the 2035 gas car ban risks falling behind China and Tesla in EV development, with potential setbacks to climate goals and industry competitiveness.
The EU’s Electric U-Turn: What’s the Real Deal?
Once upon a time, the EU slapped down a 2035 deadline to ban sales of new internal combustion engine (ICE) cars, a move that nudged the auto giant continent into the electric future. But now, overwhelmed by pressure from Europe's powerful car lobby—especially from Germany and its automaking crown jewels—regulators are expected to drop the gas-ban plan and instead allow ICE vehicles to linger longer.
German Chancellor Friedrich Merz applauds this “course correction” as a win, aiming to preserve Europe's manufacturing heritage. But experts warn this move might make EU a tech museum, stuck relying on old ICE tricks while Chinese EV brands sharpen their teeth and dig into the European market like an unstoppable electric pack.
China and Tesla: Drawing the Battle Lines
Chinese brands like BYD aren’t just knocking – they’re already strolling into Europe, setting up factories and stealing market share with EVs and hybrids that blend tech, affordability, and style. Meanwhile, Tesla keeps innovating, making high-performance EVs a household name globally.
The worry? If Europe stretches out its embrace of ICE, it risks falling behind technologically and commercially. Jos Delbeke, a once senior EU climate official, hit the nail on the head: this breathing room must be fleeting or it risks missing climate targets and losing in the tech race.
At the same time, European incentives might shift to make small, locally made EVs more attractive. Automakers will face a hefty target: a 90% reduction in CO2 emissions for their fleets by 2035. Ambitious? You bet.
What’s Next for Europe and its Automakers?
The EU’s decision is a gamble:
- Will European automakers use this extra time to level up their EV tech or retreat into comfortable ICE complacency?
- Can stricter CO2 reduction targets push manufacturers toward electrification, despite the ban retreat?
- And economically, will preserving old tech now safeguard jobs, or cause a future hemorrhage as the global market shifts?
If Europe fools around too long, they may own a lot of diesel trucks and nostalgia cafes—but risk missing out on the EV future’s rocket ride.

Eddie Murphy’s Take:
Europe, I love ya, but you can’t vintage your way to the future. This ain’t a classic movie marathon; it’s about who drives the roads tomorrow. Don’t get stuck in rewind, man!
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Eddie W
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