
Paper Launch – EU’s Road Transport Decarbonization Policy: Innovative Policy Approaches for Industrial Competitiveness
December 10 @ 15:00 - 16:30
This is a hybrid event. Important! Online participation is only allowed for attendees located outside Brussels.
In February 2025, ERCST published its Reflection paper, “Road transport decarbonization: innovative policy approaches for competitiveness and investment” after extensive consultations with a broad range of stakeholders, including representatives from automotive materials, vehicle manufacturers, and energy suppliers. The analysis presented in the Reflection paper highlights that current European road transport CO2 policies have not only failed to maximize opportunities for investment across these sectors but have also inadvertently led to a loss of competitiveness, with some industrial activities and investments shifting outside the EU. This is seen as a direct consequence of policy approaches that do not sufficiently incentivize or enable investment in innovative, low- and zero-carbon technologies within Europe.
Building on this assessment, the paper proposes a new approach aimed at reversing these negative trends. It advocates for a comprehensive review and redesign of road transport decarbonization policies to better capture the vast investment potential in low-carbon and zero-carbon solutions. The goal is to create a policy environment that attracts and retains investment in advanced vehicle technologies, sustainable fuels, and supporting infrastructure, thereby strengthening the EU’s industrial base and ensuring that the transition to climate neutrality also delivers economic and social benefits.