Carmakers Urge EU to Drop Mandatory EV Fleet Targets | Europe Auto News 2025
European carmakers and leasing firms warn the EU against mandatory EV fleet targets, citing high costs, weak infrastructure, and operational risks.
Raja Awais Ali
12/8/20252 min read
Carmakers and Leasing Firms Urge EU to Avoid Mandatory EV Fleet Targets
On 8 December 2025, major European car manufacturers and vehicle rental and leasing companies jointly urged the European Commission to avoid imposing mandatory electric vehicle (EV) fleet targets on corporate fleets. The companies warned that such requirements could create serious operational challenges and financial pressure across the automotive and mobility sectors.
In a joint letter, the companies highlighted that Europe’s charging infrastructure is still underdeveloped in many regions. According to industry leaders, the lack of fast and reliable charging networks makes it difficult to operate large-scale EV fleets efficiently. They also emphasized that electric vehicles remain significantly more expensive than traditional petrol and diesel vehicles, making immediate large-scale adoption financially unrealistic for many businesses.
The firms cautioned that if strict EV fleet quotas are introduced, many companies may either delay purchasing new vehicles or extend the use of older internal combustion engine cars. This outcome, they argued, would directly contradict the European Union’s environmental goals by slowing down the transition to cleaner mobility and keeping higher-emission vehicles on the road for longer periods.
Rental and leasing companies expressed specific concerns about the underdeveloped second-hand EV market. Since these firms typically resell vehicles after a few years of use, the lack of a stable resale market for electric vehicles increases financial risk and uncertainty. This makes long-term planning more difficult and could reduce investment in newer, cleaner vehicle technologies.
Environmental groups, however, have pushed back against the industry’s position. They argue that mandatory targets are essential to meet Europe’s climate commitments and reduce carbon emissions from the transport sector. Climate advocates believe clear, enforceable deadlines will encourage infrastructure development and accelerate the shift toward zero-emission vehicles across the continent.
This debate has gained urgency as the European Commission prepares to unveil a new automotive and climate policy package in the coming weeks. The proposal is expected to include updated regulations for corporate fleets and new vehicle emissions standards. Industry experts believe the Commission’s final decision will significantly shape the future of Europe’s automotive market and its climate strategy.
Overall, the joint appeal reflects the growing tension between industrial practicality and environmental ambition. While carmakers and leasing firms support the long-term goal of electrification, they insist that the transition must be realistic, gradual, and supported by major investments in charging infrastructure and financial incentives. The European Commission’s upcoming decision will determine whether the EU adopts a strict, target-driven approach or a more flexible, infrastructure-first strategy for the electric vehicle transition.