European Union President to Collaborate with Car Industry on New ‘E-car’ Category
European Union president Ursula von der Leyen is set to partner with car industry leaders to develop a novel category of small and affordable electric cars, known as the ‘E-car’, in an effort to bolster the industry and promote sustainability.
During a meeting in July, Stellantis chairman John Elkann and former Renault Group CEO Luca de Meo put forth a proposal for the creation of a new class of compact vehicles with relaxed safety regulations, aiming to lower production costs and reduce lifecycle emissions.
Inspired by Japan’s successful kei car segment, which dominates a significant portion of the Japanese market, the idea gained traction and garnered support from industry executives.
At the recent Munich Motor Show, key figures in the automotive sector, such as Renault Group’s François Provost, BMW Group’s Oliver Zipse, and Stellantis’s Jean-Philippe Imparato, emphasized the urgent need for action in response to the EU’s impending ban on new internal combustion engine (ICE) cars by 2035. They highlighted the competitive threat posed by Chinese automakers and advocated for a shift towards evaluating the overall CO2 emissions of vehicles rather than focusing solely on tailpipe emissions.
In her State of the Union address, von der Leyen acknowledged the significance of the European car industry, emphasizing its role as a cornerstone of the economy and a major employer. She underscored the importance of adapting regulations to support the industry’s transition towards cleaner and more sustainable practices.
Expressing her backing for the proposed ‘E-car’ initiative, von der Leyen stressed the need for affordable electric vehicles that cater to both European and global markets. She emphasized the importance of developing environmentally friendly, cost-effective, and European-made cars to compete with international rivals, particularly in China.
While specific details regarding the permissible powertrain options for the new E-car category remain unclear, von der Leyen reiterated her commitment to electric mobility, declaring that Europe must play a leading role in shaping the future of automotive technology.
As the automotive landscape evolves towards electrification, the collaboration between EU policymakers and industry stakeholders aims to drive innovation, support sustainable growth, and solidify Europe’s position as a key player in the global automotive market.