Ford and Volkswagen face stiff penalties if they don’t drastically cut emissions by 2025

Next year, in 2025, new limits will be imposed on the average CO2 emissions of car brands. The barrier will be implemented at 93.6 g/km. But can different companies achieve this? So much so that some of them have anticipated their arrival and have already achieved this goal. However, others have a much more difficult situation.

it has been The power of data The WHO has published a report on these emission levels. Specifically, they point out from the above mentioned agency that currently only two automotive groups already comply with these regulations: Geely (Volvo, Polestar, Smart, Lotus…) and SAIC (MG). However, there are other things that are far from this.

Sanctions against certain brands may become a reality

The report continues to reveal new data. They point out that some brands still exceed this limit, although the margin is not too large, so it is not difficult to reach this target within the stipulated period. These are Toyota (Currently 105 g/km) Hyundai Group (108 g/km) Strantis (113 g/km) Renault-Nissan-Mitsubishi (114 g/km).

Other brands that could also achieve this goal, according to the study, would be two well-known German premium brands. BMW is currently at 108 g/km and Mercedes-Benz is at 110 g/km. For its part, Audi is part of the Volkswagen Group, which is not going to have a particularly good time.

Currently, the two companies that have the most difficulty achieving this goal are Volkswagen Group (123 g/km) and Ford (125 g/km)If they fail to do so, both parties will face severe financial sanctions. Currently, the amount of these fines is between 95 euros per gram of excess CO2 per vehicle soldThis will directly result in each of them facing fines of millions of euros.

from The power of data In particular, they stressed that to reduce this average emissions by 2025, it would be necessary for most manufacturers to implement stricter electrification policies across their respective ranges. The agency provided a small example of calculations:

“Based on current emissions for specific fuel types, manufacturers without full hybrids in their portfolio would need 37% 100% electric and plug-in hybrids. With full hybrids, the task seems to become easier. At 55% hybrids, the necessary share of pure electric and plug-in hybrids would drop to 23%.”

For reference, BMW reached 17.4% of the electric car market share in the second quarter of 2024; Volkswagen Group only signed 8.1%. Therefore, the first suggestion will not have too many problems in reaching the cut-off average in 2025. It only requires “modest growth” in electric car sales. On the contrary, VW Group will need ‘substantial growth’.

However, the Volkswagen Group may decide to face these sanctions in 2025, since its electric car range will grow significantly by the end of that year or in 2026 with models designed for sales volume (such as the ID.2). Ford, on the other hand, may find itself in serious problems, since it will have to significantly expand its electric car presence soon. However, the launches of such types are not expected to be large. Until after 2026.