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Merz rejects reported EU plan to force rental firms to buy EVs from 2030

Published by Global Banking & Finance Review

Posted on July 21, 2025

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· Last updated: January 22, 2026

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Merz rejects reported EU plan to force rental firms to buy EVs from 2030
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BERLIN (Reuters) -German Chancellor Friedrich Merz on Monday criticised a reported draft EU plan to oblige car rental firms and large companies to buy only electric vehicles from 2030, saying it could

Merz Critiques EU's Proposed Mandate for Rental Firms to Buy EVs by 2030

BERLIN (Reuters) -German Chancellor Friedrich Merz on Monday criticised a reported draft EU plan to oblige car rental firms and large companies to buy only electric vehicles from 2030, saying it could contribute to destroying the bloc's important automotive industry.

German tabloid Bild Zeitung had on Saturday reported that the EU Commission was considering the move, citing anonymous EU sources. Such corporate fleets make up about 60% of new car sales, it said.

Merz said the proposals "completely miss the point of the current joint needs we have in Europe", noting the automotive industry was one of the region's core industries.

"We must not allow it to be destroyed by focussing on technologies that might not be market-ready enough by a given date for one to rely exclusively on that single technology," he told reporters. "That's why we oppose such rigid specifications."

"Europe is not open enough, not fast enough, not dynamic enough — and I want to help change that" he said.

Germany has a right to help formulate the EU's strategic outlook given it finances a quarter of the bloc's budget, he said. 

(Reporting by Sarah Marsh, Editing by Chizu Nomiyama )

Key Takeaways

  • Merz opposes EU's 2030 EV-only purchase mandate.
  • Proposal could harm the EU automotive industry.
  • Corporate fleets are 60% of new car sales.
  • Germany seeks influence in EU strategic planning.
  • Merz calls for more dynamic EU policies.

Frequently Asked Questions

What is the EU's proposed plan regarding electric vehicles?
The EU is reportedly considering a plan to require car rental firms and large companies to purchase only electric vehicles starting in 2030.
What are Friedrich Merz's views on the EU's proposal?
Friedrich Merz criticized the proposal, stating it overlooks the current needs in Europe and could harm the automotive industry by focusing on technologies that may not be ready.
How significant are corporate fleets in new car sales?
Corporate fleets account for about 60% of new car sales in Europe, highlighting their importance in the automotive market.
What did Merz say about Germany's role in the EU?
Merz emphasized that Germany has a right to influence the EU's strategic outlook, as it contributes a quarter of the bloc's budget.
What are Merz's aspirations for Europe?
Merz expressed a desire for Europe to become more open, fast, and dynamic, indicating a need for change in the region's approach to industry and technology.

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