Europe’s Auto Industry Might Face €15 Billion in Fines Over Emissions

A worker walks past parked Renault cars at its stockyard on the outskirts of the western Indian city of Ahmedabad June 11, 2013. (Reuters)
A worker walks past parked Renault cars at its stockyard on the outskirts of the western Indian city of Ahmedabad June 11, 2013. (Reuters)
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Europe’s Auto Industry Might Face €15 Billion in Fines Over Emissions

A worker walks past parked Renault cars at its stockyard on the outskirts of the western Indian city of Ahmedabad June 11, 2013. (Reuters)
A worker walks past parked Renault cars at its stockyard on the outskirts of the western Indian city of Ahmedabad June 11, 2013. (Reuters)

Renault chief Luca de Meo warned Saturday that European carmakers could face fines of 15 billion euros if they fail to respect EU emissions rules, calling for "some flexibility" as electric car sales slow on the continent.

He told France Inter radio: "In order to meet CO2 emission standards calculated on average for all cars sold, manufacturers will have to reduce their production by more than 2.5 million vehicles to avoid being penalized."

De Meo, who is also president of the European Automobile Manufacturers Association (ACEA), said an EV car can compensate for four thermal cars.

"We are now preparing for 2025 because we are taking orders for the cars we're going to deliver. According to our calculations, if EV production remains at today's level, the European industry may have to pay 15 billion euros in fines or give up production of more than 2.5 million units," he said.

"We need to be given a little flexibility. Setting deadlines and fines without being able to make that more flexible is very, very dangerous," he warned.

In August, battery-electric cars accounted for 12.5% of the EU car market, with a 10.8% drop in sales year-on-year.

The Renault chief underlined the importance of the EV market for European industrial battery manufacturing projects. "If electric cars do not sell, these projects will face difficulties," he added.

To explain the weak market for electric vehicles, de Meo cited the high prices of cars, the very slow installation of charging stations and "uncertainty" about the subsidies for the purchase of electric vehicles.

He said the German government ended its electric car subsidy program last December, leading to a drastic drop in sales.

Commenting on those subsidies, he stressed "we need stability, visibility" and "a certain consistency" in our policies.

The European automobile industry is under intense pressure from Chinese competition. Volkswagen warned this week that it would consider closing factories in Germany for the first time in its 87-year history.

This should not happen to Renault, which has already made savings, de Meo assured. "A few years ago, we had to make a very hard decision by reducing production capacity by more than one million vehicles," he explained.



Port of NEOM Strengthens Role in Global Supply Chain Connectivity

By empowering Saudi workers with high-tech skills, Port of NEOM is supporting NEOM’s vision of being a catalyst for a sustainable, diverse, and innovative ecosystem that enables regional economic resilience and advances the goals of Saudi Vision 2030 - SPA
By empowering Saudi workers with high-tech skills, Port of NEOM is supporting NEOM’s vision of being a catalyst for a sustainable, diverse, and innovative ecosystem that enables regional economic resilience and advances the goals of Saudi Vision 2030 - SPA
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Port of NEOM Strengthens Role in Global Supply Chain Connectivity

By empowering Saudi workers with high-tech skills, Port of NEOM is supporting NEOM’s vision of being a catalyst for a sustainable, diverse, and innovative ecosystem that enables regional economic resilience and advances the goals of Saudi Vision 2030 - SPA
By empowering Saudi workers with high-tech skills, Port of NEOM is supporting NEOM’s vision of being a catalyst for a sustainable, diverse, and innovative ecosystem that enables regional economic resilience and advances the goals of Saudi Vision 2030 - SPA

Port of NEOM has marked a major milestone with the arrival of the first fully automated, remote-controlled Ship-To-Shore (STS) and Electric Rubber-Tyred Gantry (eRTG) cranes in the Kingdom, advancing its goal to become a global hub for smart, sustainable trade, SPA reported.

Strategically located on the Red Sea, Port of NEOM is already serving as a critical gateway on the East-West trade route. The newly arrived state-of-the-art cranes will play a critical role in the port’s automation strategy, unlocking the potential for high-volume, high-efficiency operations.

Development of Port of NEOM continues at a pace ahead of the 2026 opening of Terminal 1, a next-generation container terminal, with recent infrastructure milestones including the completion of a 900-meter quay wall and the deepening of the port channel to 18.5 meters—enabling the world’s largest vessels transiting the Suez Canal to call at Port of NEOM.

Terminal 1 will also feature horizontal transport automation as part of its broader goal to achieve full automation. Once operational, these technologies will significantly expand the port’s logistics capacity, driving regional industrial growth, opening access to global markets, enhancing supply chain resilience, and unlocking business opportunities.

Port of NEOM Managing Director Sean Kelly said: “The arrival of our first automated cranes marks a tangible milestone as we lay the foundations for an advanced, future-ready port. We are not only accelerating industrial growth in northwest Saudi Arabia, but we are also setting a new benchmark for performance, efficiency, innovation and establishing a vital trade gateway for the Kingdom and the region beyond.”

In parallel with its investments in infrastructure and automation, Port of NEOM is also committed to developing local talent, including training Saudi women to take on high-tech roles. Central to this effort is a pioneering initiative to train the next generation of production specialists in remote crane operation skills, thereby helping to shape a more inclusive future for the logistics and industrial sectors.

By empowering Saudi workers with high-tech skills, Port of NEOM is supporting NEOM’s vision of being a catalyst for a sustainable, diverse, and innovative ecosystem that enables regional economic resilience and advances the goals of Saudi Vision 2030.