Newly elected Von der Leyen’s big challenge: turning the Green Deal into Europe’s industrial and social deal

Ursula von de Leyen’s election as European Commission president for a second five-year term ensures the continuity of leadership necessary to turn the European Green Deal into Europe’s social and industrial deal. Transport and Environment (T&E) welcomes the confirmation to not backtrack on the Green Deal targets, as well as a focus on investment and the reinforcement of the 90% 2040 climate target, set out in her Political Guidelines.

However, T&E warns that keeping the 2035 zero emissions target for cars is critical to providing certainty for battery investments currently at risk. Backsliding by focusing on expensive and inefficient e-fuels would put investment in Europe’s EV industry and European jobs at risk. The focus should instead be on beefing up the proposed Clean Industrial Deal with a European green investment package, with enough firepower to support Europe's green tech companies, alongside a strategic, responsible trade agenda.

Julia Poliscanova, senior director for vehicles & Emobility supply chains at T&E, said: “The leadership that is responsible for the Green Deal as Europe’s growth strategy remains in place. Ursula von de Leyen’s 2024-29 roadmap asserts the EU’s commitment to its climate targets and to accelerating its competitive edge globally.

“However, opening the door to e-fuels for cars under the false flag of technology neutrality, is a major threat to investment certainty, especially with significant battery investments currently at risk. It is critical to European industry and jobs to maintain the 2035 zero emissions target for cars. Spending years designing a policy framework for niche e-fuels is a distraction from the monumental task to secure clean and competitive EV supply chains.”

T&E’s key recommendations for 2024 - 2029: