Third Meeting of Strategic Dialogue
The European Commission held the third meeting of the Strategic Dialogue on the Future of the European Automotive Industry on September 12, 2025, chaired by Commission President Ursula von der Leyen. Discussions covered securing EU international leadership in electric vehicle (EV) fields, accelerating research and development in autonomous driving and connected car sectors, and supporting the battery sector.
New Organization Establishment and MOU Signing
European Connected and Automated Mobility Alliance: Established a new organization aimed at promoting software, hardware, and artificial intelligence (AI) model development and investment within the EU. It serves as a platform for promoting dialogue and providing advice among companies of all sectors and sizes in the automotive industry. The European Commission and EU member states will participate as observers, with the first meeting scheduled for late October 2025.
Accelerated R&D: Signed MOUs with stakeholders to accelerate EU-level research and development in three sectors including batteries. The need for early deployment of industrial action plans for the automotive sector was also reconfirmed.
CO2 Emission Standards Review and Policy Development
Accelerated Review: Announced the acceleration of reviews of regulations on carbon dioxide (CO2) emission standards for new passenger cars and light commercial vehicles to be completed within 2025.
EU-Made EV Development Support: Referenced support for developing affordable small electric vehicles (EVs) made within the EU, as outlined in von der Leyens State of the Union address.
Industry Reactions and Positions
European Automobile Manufacturers Association (ACEA): While differences of opinion with the European Commission remain regarding CO2 emission standards review, expressed positive views stating options are expanding and results are expected within the coming months.
European Automotive Suppliers Association (CLEPA): Indicated the need for substantial revision of CO2 emission standards, emphasizing the importance of utilizing hybrid technology, hydrogen, and renewable fuels.
Large-Scale Battery Sector Investment
Megafactory Projects: Adopted 6 projects announced by the European Commission in July 2025, with total subsidies of 852 million euros. All projects are scheduled to begin production by 2030, with combined manufacturing capacity estimated at approximately 56 gigawatt-hours (GWh) per year. Battery organization Recharge supports the effective ban on internal combustion engine vehicle sales from 2035 onward and requests continued support in the next medium-term budget plan.