Study Says European Carmakers Near Emissions Targets, Mercedes Still Lags Behind

According to foreign media reports, a recent report released by the industry research organization Transport & Environment (T&E) shows that, thanks to the expected significant increase in new electric vehicle sales, all European car manufacturers except Mercedes-Benz are likely to meet the EU's carbon emission targets for 2025 to 2027.

T&E forecasts that the sales performance of European carmakers' electric vehicles will significantly improve compared to the first half of 2025—at that time, only Volvo Cars under Geely and BMW were expected to meet their targets on schedule, while Stellantis, Renault, Volkswagen, and Mercedes-Benz all fell short of the expected progress.

Image source: Mercedes-Benz

T&E stated that Mercedes-Benz is expected to continue lagging behind other European car manufacturers because the group is focusing on more profitable internal combustion engine models.

Mercedes-Benz may avoid fines by merging carbon emission data with Volvo Cars and Polestar, for which Mercedes will need to pay fees to these two competitors.

The report by T&E indicates that the decline in battery prices has led major car manufacturers to launch more affordable models. Coupled with the rapid development of charging infrastructure, the market demand for electric vehicles is expected to continue to grow. The report predicts that by 2027, the sales share of pure electric vehicles in the EU car market will rise from 18% this year to over 30%.

T&E stated that this sign indicates that the current EU carbon emission targets are having an effect, and pointed out that weakening the next phase targets for 2030 and 2035 would undermine investment confidence in the electric vehicle sector and could further expand China's leading advantage in the electric vehicle field.

The organization stated: "Europe is now facing a critical choice: either lead the global competition in pure electric vehicles and confidently step into an electrified future, or cling to tradition and risk falling completely behind in the fossil fuel era."

However, recently, several European car manufacturers, including Mercedes-Benz and BMW, have stated that future carbon emission targets—such as achieving a 100% reduction by 2035—are no longer feasible. In March of this year, under pressure from European automakers, the European Commission made a concession, allowing manufacturers three years instead of one to meet the carbon emission targets for new cars and vans.

If the standards are not met, car manufacturers will face hefty fines. Previously, some manufacturers warned that if the assessment year is solely set for 2025, the total fines they may face could amount to tens of billions of euros.