Process and technology

Decarbonization how do european automakers deal with EU emissions standards?

Tuesday, 9 May 2023

The automotive field has been facing up ecological transition for years now. The EU has set a target for 2030 of reducing net greenhouse gas emissions by at least 55% compared to levels in 1990. European automakers are taking a range of actions to support decarbonization efforts and reduce the carbon footprint of their vehicles. By investing in electrification, alternative fuels, lightweight materials, sustainable manufacturing, and carbon offsetting, they are helping to drive the transition to a more sustainable transportation system.

All the measures to reach a unique goal

Electric - Many European automakers are investing heavily in the development and production of electric vehicles (EVs) and (plug-in) hybrid electric vehicles (PHEVs). This shift towards electrification is a key strategy for reducing their vehicles’ carbon emissions. Electricity is one of the main fuels being used for decarbonization, particularly for the electrification of transportation and the generation of renewable energy. Electric vehicles (EVs) are becoming more popular as battery technology improves and charging infrastructure expands, and renewable energy sources such as solar and wind are increasingly being used to generate electricity. They produce no emissions from the tailpipe, and when powered by renewable energy sources, they can be a zero-emissions solution for transportation.

Hybrid vehicles use a combination of an electric motor and a traditional internal combustion engine (ICE) to improve fuel efficiency and reduce emissions. The electric motor assists the ICE during acceleration and at low speeds, and regenerative braking is used to recharge the battery.

Plug-in hybrid vehicles (PHEVs) are similar to hybrid vehicles but have a larger battery that can be charged from an external source, such as a charging station or a wall outlet. This allows them to travel a certain distance on electric power alone before switching to the ICE.

Alternative fuels - In addition to EVs and PHEVs, some European automakers are exploring alternative fuel options, such as hydrogen fuel cell vehicles, e-fuels, and biofuels, as a way to further reduce the carbon footprint of their vehicles. Particularly used in transportation and industry, hydrogen fuel cell vehicles are used as feedstock for industrial processes such as steel and cement production.

E-fuels are produced through chemical reactions that convert renewable energy sources such as electricity, hydrogen, or carbon dioxide into liquid or gaseous fuels that can be used in transportation or industry. E-fuels promise for decarbonizing sectors that are difficult to electrify, such as aviation and shipping.

Biofuels are derived from organic matter such as plants and algae, and can be used as a substitute for fossil fuels in transportation and industry. They can be either blended with or used in place of gasoline and diesel fuels.

Not only alternative fuels

However, decarbonisation is achieved not only with the search for the most suitable fuel but also with some design measures which allow the car to save on fuel consumption. Thus, the use of lightweight materials, such as aluminium and carbon fiber, are being increasingly used in the production of vehicles by European automakers. This helps to reduce the weight of the vehicle, which in turn improves fuel efficiency and reduces carbon emissions. European automakers are also taking steps to reduce the carbon footprint of their manufacturing processes. This includes using renewable energy sources, such as wind and solar power, and implementing more efficient production methods. Automakers are also investing in carbon offsetting projects, such as reforestation and renewable energy projects, to help mitigate the carbon emissions produced by their vehicles.

How do European OEMs deal with decarbonization?

Volkswagen is one of the largest automakers in the world and is heavily investing in the development and production of electric vehicles. The company has pledged to become carbon neutral by 2050 and is also focusing on reducing the carbon footprint of its manufacturing processes.

BMW is another major automaker that is investing in the development of electric vehicles and alternative fuel options. The company has set a target to reduce its carbon emissions by 80% by 2030 and plans to have 25 electrified models on the market by 2023.

Daimler, the parent company of Mercedes-Benz, is also investing heavily in the development of electric vehicles and alternative fuels. The company plans to have at least 50% of its sales coming from electric vehicles by 2030.

PSA, the parent company of brands such as Peugeot, Citroen, and Opel, is focusing on reducing the carbon emissions of its vehicles through the development of electric and hybrid powertrains.

Volvo Group is investing in the development of electric and hybrid vehicles and has set a goal to become carbon neutral by 2040. The partnership between Renault, Nissan, and Mitsubishi is focusing on the development of electric vehicles and plans to have 12 electric models on the market by 2022.

How are the US and Asian markets coping with decarbonization?

US and East Asian automakers too are also involved in decarbonization to reduce the carbon footprint of their vehicles.

The first company to introduce an all-electric vehicle to the worldwide market is Tesla, a US-based automaker specializing in electric vehicles and is a leader in the industry. The company is heavily invested in the development of electric vehicles and has set a goal to transition the world to sustainable energy.

GM is one of the largest automakers in the world and has set a goal to become carbon neutral by 2040. The company is investing heavily in the development of electric and autonomous vehicles.

Ford is another major US automaker investing in electric vehicle development and has set a goal to have electric vehicles makeup 40% of its global sales by 2030.

Toyota is a leading East Asian automaker that is heavily invested in the development of hybrid and hydrogen fuel cell vehicles. The company has set a goal to have electric vehicles makeup 50% of its global sales by 2025.

Hyundai is investing heavily in the development of electric and hydrogen fuel cell vehicles. The company has set a goal to sell 1 million electric vehicles annually by 2025.

Honda is investing in the development of electric and hydrogen fuel cell vehicles. The company has set a goal to have two-thirds of its global sales come from electrified vehicles by 2030.

Separate chapter on China, which is taking a multi-faceted approach to decarbonization in the automotive industry, including promoting EV adoption, investing in renewable energy, implementing emissions standards, and improving battery recycling. These efforts are expected to play a significant role in reducing emissions from the transportation sector in China.