Insight: EU Poised to Extend ICE Ban to 2040 - Industry Pressure Reshapes European Automotive Policy

Pressure from member states , weak EV demand, and Chinese competition push EU to set ICE ban from 2035 to 2040; risking widening the gap with China.

The EU is set to delay its ICE ban from 2035 to 2040 following pressure from six member states and traditional automakers facing weak EV demand and Chinese competition. These countries advocate for technology-neutral approaches allowing hybrids and efficient combustion engines. However, Europe's EV sector warns this retreat will widen the gap with China. The mid-December announcement may pressure the UK to reconsider its 2030 ban.