Renault warns pooling CO2 emissions could weaken EU car industry

8/1/2025 18:17

French automaker Renault is committed to complying with tighter EU rules on CO2 emissions this year, it said, but believes automakers pooling their emissions could weaken the European car industry.



The EU significantly lowered its cap on automotive carbon dioxide emissions from Jan. 1, meaning at least one-fifth of all sales by most car companies must be EVs to avoid heavy fines.



Companies with lower electric vehicle sales can "pool" their emissions with segment leaders, however purchasing emissions credits from other manufacturers to lower their overall averages and save them hundreds of millions of euros in penalties.



EU filings on Tuesday showed companies including Stellantis , Mercedes and Toyota are planning to buy carbon credits from producers including Tesla and Polestar.



Renault said it was too early to say if it would also pool emissions, but added the move would be damaging to the sector. It has been urging Brussels to ease the regulations instead.



"Without a clear position from the European Commission, the manufacturers are forced to take counterproductive decisions such as purchasing credits from competitors, potential production cuts, etc. This leads to the weakening of the European industry," the company said in a statement to Reuters.



It added it is urgently calling for more clarity on the matter.