The European Automobile Manufacturers’ Association (ACEA) is requesting a delay in the implementation of stricter battery rules for electric vehicles traded between the EU and the UK. The current transitional period, established in 2023, is set to expire at the end of 2026. ACEA proposes extending these flexible requirements until the end of 2029.
ACEA warns that without a postponement, manufacturers could face tariffs totaling €1.47 billion in 2027 alone. The association estimates that approximately 520,000 battery-electric passenger cars and light commercial vehicles will be exported from the EU to the UK in 2027, with 82 per cent of these vehicles failing to meet the new origin requirements.
The proposed extension would allow battery packs assembled in the EU or the UK to qualify as originating there, even if they contain cells or modules from third countries. ACEA emphasizes that European manufacturers are investing in local supply chains, but current production capacities will take several years to reach full scale.
The association clarifies that it does not seek to abolish localization requirements, which mandate local production of battery cells by 2030 and cathode materials by 2032. Instead, it advocates for a phased introduction that aligns with European industrial policy. ACEA also plans to submit a separate proposal regarding plug-in hybrids, as only 2 per cent are expected to meet the new rules.
