Daily EV news · France · 26 October 2026
Policy & Market
France and Germany agree to soften EU CO₂ rules and battery content standards, drawing industry criticism
France and Germany have reached a compromise to ease CO₂ emissions standards for new cars and weaken requirements under the Industrial Accelerator Act (IAA), which sets European content criteria for strategic products including batteries. European NGO Transport & Environment calls the deal a historic mistake, warning it slows fleet electrification amid record fuel prices and undermines battery factories built in Europe in recent years. The most contested point concerns labelling: a vehicle assembled in the EU but fitted with Chinese batteries could qualify as European made under the relaxed IAA rules.
Why it matters
Looser CO₂ targets reduce regulatory pressure on carmakers to deploy affordable plug in models, potentially slowing EV adoption and the charging infrastructure demand that follows. Weakened battery content rules may also discourage investment in European cell manufacturing, affecting the supply chain for charge point operators who rely on locally produced EVs.