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Stellantis distributors urge EU for realistic CO2 targets adjustment

The European distribution networks of Abarth, Alfa Romeo, Citroen, DS, Fiat, Lancia, Jeep, Opel, and Peugeot, all part of the Stellantis Group and two brands being represented by CECRA, have collectively issued an open letter to European Commission President Ursula von der Leyen, raising serious concerns over the EU’s CO2 reduction targets set for 2025.

The distributors argue that the targets, under current market conditions, are “unfeasible” and require urgent reassessment.

In their statement, the distributors highlight that the lack of affordable Battery Electric Vehicles (BEVs) and the insufficient charging infrastructure across Europe are creating a significant disparity between the EU’s regulatory requirements and market realities.

According to the letter, the industry’s focus on premium BEV models has contributed to high costs, deterring mass adoption and leaving the market unable to meet the necessary targets within the stipulated timeframe.

“As distributors, we are on the front line, engaging with consumers daily,” the letter states. “We observe that many potential buyers are rejecting BEVs due to concerns over price, range, and accessibility.”

The distributors emphasise that their perspective contrasts with that of their manufacturer, who remain optimistic about achieving the EU’s stringent regulations. The letter argues that the industry is collectively unprepared to meet the volume of electric vehicle sales needed to comply with upcoming standards, reflecting a growing divergence between regulatory goals, market readiness, and manufacturer expectations.

The distributors also point out that this concern aligns with recent statements from the European Automobile Manufacturers’ Association (ACEA), which called for a postponement of the 2025 targets—a proposal the Stellantis distributors fully support.

Moreover, the open letter criticises the current system of “exhaust emissions” measurement, describing it as inconsistent with the broader goal of decarbonisation. The distributors advocate for a “holistic approach” that accounts for the entire production lifecycle of vehicles, suggesting that such a comprehensive framework would result in more meaningful CO2 reductions.

The letter further warns that if the EU does not adjust its framework, manufacturers will likely face substantial financial penalties. Such fines, they argue, will lead to reduced production volumes within the EU, subsequently impacting the distributors’ ability to maintain sales volumes.

“This scenario would create an unsustainable economic situation for the entire sector, threatening jobs and businesses across the supply chain,” they said.

In their closing statement, the distributors urge the EU to consider legislative changes that would support “a more gradual transition”.

CECRA, representing European automobile distributors and repairers, has also voiced its support and says it remains committed to closely monitoring the situation to advocate for policies that are realistic and beneficial for both consumers and the distribution sector.