German Chancellor Opposes EU Plan for 100% Electric Fleet by 2030

German Chancellor Friedrich Merz has expressed strong disapproval of a draft European Union plan that would mandate rental car companies and large corporations to transition their entire vehicle fleets to electric models by 2030. Merz argued that the proposals "completely miss the point of the current joint needs we have in Europe," emphasizing that such strict mandates are not aligned with the immediate requirements of the region. He criticized the EU's plan, stating that it ignores the practical needs and current capabilities of the European market.

Merz's stance underscores a broader debate within the EU about the feasibility and timing of transitioning to electric-only fleets. The Chancellor's criticism highlights the tension between environmental goals and the practical challenges of implementing rapid changes in the automotive sector. The EU's proposal aims to accelerate the adoption of electric vehicles, but Merz's comments suggest that there may be significant resistance from member states, particularly those with large automotive industries like Germany.

The policy, still under internal discussion at the EU level, would require firms like Sixt SE and Europcar Mobility Group to buy only electric vehicles from the start of the next decade, part of a wider effort to decarbonize transport, one of Europe’s highest-polluting sectors. Underpinning the plan is the belief that targeting corporate and rental car fleets offers a fast-track route to cutting emissions: rental companies are among the largest buyers of new vehicles in Europe, and once those cars are resold into used markets, they could significantly boost EV adoption among consumers.

However, Merz’s pushback is part of a growing resistance from national capitals wary of overreach from Brussels. The German leader, already locked in budget fights with the EU, has made clear that Berlin won’t rubber-stamp climate mandates that he says pile unrealistic expectations on businesses and citizens. The European Commission has not yet released formal legislative text, but early drafts shared with national delegations indicate a strong push to make fleet electrification mandatory by 2030, with few exceptions.

Automakers are also closely monitoring the debate. For companies still heavily reliant on combustion-engine models for revenue, the timeline could force difficult choices about production lines and supply chain contracts. Germany, in particular, has long argued for a more flexible approach to mobility decarbonization. While it supports reducing emissions, Berlin has consistently championed technological neutrality, pushing to keep options like synthetic fuels and hydrogen on the table.

The fleet electrification plan would go beyond the EU’s goal of banning the sale of new internal combustion engine vehicles by 2035. While that policy has already sparked debate, this latest move ups the stakes by shifting the timeline forward and putting the burden on businesses first. Supporters within the European Commission argue that time is of the essence. After a summer of record temperatures and intensifying pressure from COP29 commitments, Brussels sees transport emissions as one of the few remaining areas where aggressive policy can deliver fast climate wins.