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Mercedes CEO Ola Kallenius Is Still Not Happy About The Fuel Ban’s Easing

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There won’t be a complete ban on the sale of new cars with combustion engines in 2035 after all. A sigh of relief for the automotive industry, but according to Mercedes CEO Ola Källenius, even the current rules could be disastrous.

After considerable pressure, particularly from the automotive industry, the EU decided in December that CO2 emissions from passenger cars must be reduced by 90 percent, not 100 percent, by 2035. This means there is a small leeway for cars that still require some form of fuel, although this must be compensated for by, among other things, using so-called green steel.

So, these are still drastic measures, but with 90 percent instead of 100 percent, car manufacturers and governments will have a bit more peace of mind. However, according to Mercedes CEO Ola Källenius, it’s not enough. In Brussels, Källenius told Automotive News that the 90 percent rule in its current form effectively still means 100 percent, mainly because of the requirement that fuel consumption be compensated for with something else. According to Källenius, even in a weakened form, the rules will have a “destabilizing” effect on the European car market.





According to him, it’s all going too fast and too far, even before 2035. The CEO also proposes that the previous relaxation, which gives car manufacturers three years instead of one to meet the 2027 average CO2 standard, should be spread over a total of five years. So what does Källenius want? More measures to make the existing vehicle fleet cleaner, for example, by promoting synthetic fuels. “We’re not discussing the need for cleaner cars, but rather how to achieve that goal,” says Källenius.





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