The debate around Europe's planned ban on new combustion engines from 2035 is heating up. And now one of the industry's heaviest hitters is joining the discussion: Stellantis chairman John Elkann.

Elkann (also chairman of Ferrari) warns that an “EV-only future” is neither realistic nor desirable. According to him, the EU urgently needs to correct its course and allow plug-in hybrids, range extenders and synthetic fuels even after 2035.

And when the fourth-largest carmaker in the world speaks, Brussels normally listens.

“Not one route, but multiple technologies must stay open”

Elkann argues that Europe is boxing itself into a corner:

• PHEVs can still deliver enormous CO₂ gains.

• Range-extender EVs make electric driving achievable without giant batteries.

• E-fuels and alternative fuels can make combustion engines nearly CO₂-neutral.

According to him, it's wrong that the EU wants to effectively sideline every innovation outside battery EVs.

Stellantis is investing billions in electric models (Peugeot, Opel, Jeep, Fiat...), but wants no technological lock-in that makes the industry less agile.

The real challenge arrives well before 2035

Many people focus on the 2035 ban, but the steepest CO₂ decline comes much sooner.

EU targets:

• 2025–2029: 93.6 g/km CO₂ (–15% vs. 2021)

• 2030–2034: 49.5 g/km (–55% vs. 2021)

• From 2035: 0 g/km (in practice: no more new petrol or diesel)

The European Commission originally wanted manufacturers to meet the 93.6 g/km target individually each year. That has been softened: the industry can now average across 2025–2027.

But Elkann wants more: a 5-year average margin (2028–2032), which would give brands more breathing room to plan model changeovers, factory adjustments and battery supply.

Problem: EV sales aren't growing fast enough

Through 2024, fully electric cars had a market share of 16.1% in the EU.

From 16% to 100% in 9 years? With falling demand in some countries?

The industry calls it “economically and technologically unfeasible”.

Other CEOs are raising the same alarm:

• BMW's Oliver Zipse: calls 2035 “a strategic mistake”.

• Mercedes' Ola Källenius: warns that the European car industry could collapse if the deadline remains unchanged.

• Both support emissions reduction, but demand technology neutrality, the climate goal should stay, but the path to it must become more flexible.

Politics is shifting: Germany wants to scrap the ban

The European winds are changing.

Positions in Europe:

• Germany: wants to fully revise the 2035 ban. Chancellor Merz calls it “wrong”.

• France & Spain: open to compromise: the combustion engine can stay if strict EU production and battery rules apply.

• Brussels: stands far less firmly behind the Green Deal since the 2024 elections than before.

• The EPP (centre-right bloc) is now pushing for industrial protection and less extreme climate rules.

In July 2025, the accelerated procedure for the 2040 climate law was even voted down, a signal that the political reality has shifted dramatically.

US vs. EU: who's right?

Stellantis CEO Antonio Filosa compares the markets:

• In the US, EV sales are growing strongly, partly thanks to more flexible regulation and more freedom of choice.

• Europe, on the other hand, is betting on a single path and risks losing competitiveness to Chinese brands.

The stakes? 13 million European jobs directly tied to the car industry.

December 2025 will therefore be a historic turning point: that's when the European Commission officially reviews the 2035 rule.

Conclusion

The European car sector is at a crossroads. Everyone wants to reach net-zero, but not everyone sees batteries as the only way there.
Stellantis is voicing what many CEOs have been whispering for months:

• Give us climate targets.

• But also give us freedom of choice in technology.

If Brussels doesn't budge, 2035 might well become the deadline… not only for petrol and diesel cars, but for a large part of European industry.