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Argus provides key insights on how global climate policies will affect the global energy and commodity markets. We shine a light on decisions made at UN Cop meetings, which have far-reaching effects on the markets we serve. Progress at Cop 30 in Brazil will be crucial in transforming ambitions into actions aligned with the goals of the Paris Agreement. Countries must produce new climate plans this year.

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25/12/17

EU's Hoekstra confident of CBAM export support

EU's Hoekstra confident of CBAM export support

Brussels, 17 December (Argus) — European climate and taxation commissioner Wopke Hoekstra is "absolutely" confident that EU member states will give "full" support to an EU-wide temporary decarbonisation fund for carbon leakage in industrial sectors covered by the bloc's carbon border adjustment mechanism (CBAM). This is despite the European Commission proposing that 25pc of CBAM revenues originally earmarked for national budgets now finance the CBAM fund. "We're not going to make this part of the EU budget. This is money that immediately is going to be spent on the companies of member states," Hoekstra told Argus , noting that the fund is helping EU states' own industries. Financing the fund may still be contentious, especially for EU countries. In addition to proposing that the fund be financed by revenues currently earmarked for EU states' budgets, the commission leaves untouched the remaining 75pc earmarked for the EU budget. Hoekstra said that CBAM's increased scope, expanded to downstream products, "roughly" equates to the financing required for the fund. "We did not try to design it exactly that way. But it is convenient because it makes the conversation with member states even easier," Hoekstra said. The European Parliament and EU member states are likely to amend the revised CBAM regulation and accompanying laws before adoption. Under the proposal, over 140 CN goods categories produced by EU-based manufacturers will receive support from the fund. The commission does not propose any differentiation between support given to manufacturers' EU exports and locally sold goods. The commission is proposing extending CBAM to certain steel and aluminium-intensive downstream products from the start of 2028. A further 180 CN custom duty codes will include some 7,500 new importers under the mechanism. A wide range of iron and steel products are proposed for inclusion, including stranded wire, ropes, cables, washing machines, sawing machines and even metal furniture. By Dafydd ab Iago Send comments and request more information at feedback@argusmedia.com Copyright © 2025. Argus Media group . All rights reserved.

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EU eases ICE phase-out with 2035 CO2 car target: Update


25/12/16
News
25/12/16

EU eases ICE phase-out with 2035 CO2 car target: Update

Adds details on credits, transport commissioner comment in paragraphs 4-6 Brussels, 16 December (Argus) — The European Commission has proposed a new 90pc cut in car fleet emissions by 2035, replacing the previously agreed 100pc target that would have effectively phased out the sale of internal combustion engine (ICE) vehicles from that date The plan would allow some new ICE vehicles to remain on sale beyond 2035, alongside plug-in hybrids, range extenders and mild hybrids, as well as electric and hydrogen cars. The remaining 10pc of emissions would need to be offset through low-carbon steel, e-fuels or biofuels, according to the commission. The proposals need to be adopted by a majority in the European Parliament and among EU states. Automakers could also "bank and borrow" credits between 2030-32 to help meet the existing 2030 target of a 55pc cut from 2021 levels. Under the new proposals, manufacturers using these flexibilities would only need to achieve a 40pc fleet-average reduction, down from a previously planned 50pc. The commission indicated that credits for greenhouse gas (GHG) savings from e-fuels and biofuels can compensate up to 3pc of manufacturers' reference targets for 2035 and low-carbon steel credits can compensate for a further 7pc. Transport commissioner Apostolos Tzitzikostas said the credit system will boost uptake of sustainable fuels. "This is a clear signal than other technologies than battery electric vehicles (BEV) can be put on the market after 2035," said Tzitzikostas. Expanded carbon-neutral criteria would allow sustainable biofuels to help meet the targets that currently require 0g/km from 2035. EU renewable ethanol group ePure said emissions from ethanol were 79pc lower than fossil fuels in 2024, in line with previous years. The European Biodiesel Board reported savings of 77-81pc for biodiesel, using the official fossil fuel comparator of 94g of CO2e/MJ. German MEP Peter Liese criticised the original ICE ban, but said industry problems stem from market shifts, not from Brussels. "The industry must stop shifting the blame for its own mistakes and for market developments, for example in China, onto Brussels," he said, adding that he will push for green steel recognition before 2035. By Dafydd ab Iago Send comments and request more information at feedback@argusmedia.com Copyright © 2025. Argus Media group . All rights reserved.

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EU eases ICE phase-out with new 2035 CO2 car target


25/12/16
News
25/12/16

EU eases ICE phase-out with new 2035 CO2 car target

Brussels, 16 December (Argus) — The European Commission has proposed a new 90pc cut in car fleet emissions by 2035, replacing the previously agreed 100pc target that would have effectively phased out internal combustion engine (ICE) vehicles. The plan would allow some ICE vehicles to remain in use beyond 2035, alongside plug-in hybrids, range extenders and mild hybrids, as well as electric and hydrogen cars. The remaining 10pc of emissions would need to be offset through low-carbon steel, e-fuels or biofuels, according to the commission. The proposals need to be adopted by a majority in the European Parliament and among EU states. Automakers could also "bank and borrow" credits between 2030-32 to help meet the existing 2030 target of a 55pc cut from 2021 levels. Under the new proposals, manufacturers using these flexibilities would only need to achieve a 40pc fleet-average reduction, down from a previously planned 50pc. Expanded carbon-neutral criteria would allow sustainable biofuels to help meet the targets that currently require 0g/km from 2035. EU renewable ethanol group ePure said emissions from ethanol were 79pc lower than fossil fuels in 2024, in line with previous years. The European Biodiesel Board reported savings of 77-81pc for biodiesel, using the official fossil fuel comparator of 94g of CO2e/MJ. German MEP Peter Liese criticised the original ICE ban, but said industry problems stem from market shifts, not from Brussels. "The industry must stop shifting the blame for its own mistakes and for market developments, for example in China, onto Brussels," he said, adding that he will push for green steel recognition before 2035. By Dafydd ab Iago Send comments and request more information at feedback@argusmedia.com Copyright © 2025. Argus Media group . All rights reserved.

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EU to dilute Ice vehicle phase out: German lawmaker


25/12/15
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25/12/15

EU to dilute Ice vehicle phase out: German lawmaker

Brussels, 15 December (Argus) — The European Commission is likely this week to dilute its plan to phase out sales of new internal combustion engine (Ice) vehicles by 2035, according to a lawmaker. "The ban on internal combustion engines is history," said Manfred Weber, the chair of parliament's largest centre-right group EPP. He said the commission will present on 16 December an automotive package that "will revise the CO2 standards for cars, reversing the disastrous ban on internal combustion engines". Weber is a member of Germany's CDU/CSU party, as is commission president Ursula von der Leyen. German chancellor Friedrich Merz has called on the EU to allow the sale of vehicles with highly efficient combustion engines, plug-in hybrids and range-extender EVs beyond 2035. This had faced pushback, with more than 150 European e-mobility firms requesting the commission "stand firm" on its 2035 target. An EU official said the target is now likely to be for a 90pc GHG reduction from 2035 for new vehicles. "As it stands the targets for 2030, but also 2035, are not realistic," said Sigrid de Vries, director general of the European Automobile Manufacturers' Association (ACEA). "Even with a 90pc target [for reducing GHG by 2035], make no mistake, that will be very, very challenging." The European motor industry has already flagged the possibility of huge fines for manufacturers should they fail to meet existing emissions targets, which are for a 15pc reduction by 2029 compared with a 2021 baseline, and a 55pc reduction from the same baseline in 2030-34. By Dafydd ab Iago Send comments and request more information at feedback@argusmedia.com Copyright © 2025. Argus Media group . All rights reserved.

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UK, Malaysia strengthen energy transition partnership


25/12/15
News
25/12/15

UK, Malaysia strengthen energy transition partnership

Singapore, 15 December (Argus) — The UK and Malaysia have launched the second phase of the Malaysia-UK Partnering for Accelerated Climate Transitions (UK PACT) fund, which is aimed at supporting Malaysia's energy transition through targeted projects. The UK will provide up to £2.9mn ($3.88mn) in funding across the 2025-26 and 2026-27 financial years, the countries announced on 12 December. The programme aims to establish a pathway for private and public sector participants through a strategic roadmap for green finance, as well as enable investment into energy storage solutions and grid infrastructure, and strengthen carbon market mechanisms. This second phase builds on the support provided by the UK over 2020-23 and is in line with Malaysia's more recent climate policies such as its national energy transition roadmap, its nationally determined contribution (NDC) for 2035 and its upcoming climate change bill. The first iteration of the programme involved up to £2.6mn in funding for projects in priority areas such as energy, nature and low-carbon policies. The Malaysia-UK PACT in July called for proposals from eligible organisations to develop projects focusing on objectives such as developing a sustainable finance roadmap, improving project bankability by establishing a regulatory framework for renewable integration solutions with a focus on energy storage systems, and providing support to industry and high-emitting sectors to prepare to participate in the domestic emissions trading scheme. The UK has partnered with multiple other countries such as Thailand, Indonesia and most recently, the Philippines, under the PACT programme, which is governed and jointly funded by the UK's Foreign, Commonwealth and Development Office and Department for Energy Security and Net Zero. Malaysia intends to hit peak emissions by as early as 2030 and no later than 2034, depending on the availability of support. In its latest NDC, it aims to achieve an absolute emissions reduction of 15mn-30mn t of CO2 equivalent (CO2e) by 2035 from its projected peak level, which it did not indicate. The country will introduce a carbon tax next year, with an initial focus on the iron, steel and energy sectors. By Prethika Nair Send comments and request more information at feedback@argusmedia.com Copyright © 2025. Argus Media group . All rights reserved.

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