EU countries approve 2035 phaseout of CO2-emitting cars

European Union countries have given final approval to a landmark law to end sales of new CO2-emitting cars in 2035 after Germany won an exemption for cars running on e-fuels.

The approval from EU countries' energy ministers means Europe's main climate policy for cars can now enter into force - after weeks of delay caused by last-minute opposition from Germany, according to the US News.

The EU law will require all new cars sold to have zero CO2 emissions from 2035, and 55 per cent lower CO2 emissions from 2030, versus 2021 levels. The targets are designed to drive the rapid decarbonisation of new car fleets in Europe.

The European Commission has pledged, however, to create a legal route for sales of new cars that only run on e-fuels to continue after 2035, after Germany demanded this exemption from the ban.