EU Parliament Committees vote for new end-of-life vehicle rules

In a key step toward a more circular and sustainable automotive industry, the European Parliament’s Environment (ENVI) and Internal Market (IMCO) Committees adopted their joint position on new EU rules for End-of-Life Vehicles (ELVs) on July 7.

The proposal aims to overhaul how vehicles are designed, manufactured, dismantled, and recycled, setting ambitious targets and tightening responsibilities across the entire lifecycle of a vehicle.

A comprehensive overhaul: from design to disposal

The proposed regulation, part of the EU’s Circular Economy Action Plan and the European Green Deal, would apply to cars and vans one year after its entry into force, with a five-year delay for other vehicle categories such as buses, heavy-duty vehicles, trailers, motorcycles, mopeds, and minicars.

Vehicles designed for military, emergency, civil defence, and those of historical or cultural value would be exempt from the rules.

At the heart of the regulation is a push for eco-design, requiring all new vehicles to be manufactured for easier dismantling and reuse of parts and materials. MEPs stressed that software must not obstruct the ability to remove or replace components, ensuring accessibility for authorised treatment facilities (ATFs).

Binding targets for recycled materials

The regulation introduces mandatory recycled content targets, particularly for plastics used in vehicle manufacturing. Within six years, 20% of plastic in new vehicles must be recycled, increasing to 25% within ten years, contingent on availability at reasonable prices. The European Commission is also expected to propose similar targets for recycled steel and aluminum, following a feasibility study.

This shift is intended to boost the availability and market for recycled materials, reducing the auto sector’s reliance on virgin raw materials and contributing to Europe’s resource security.

Strengthened producer responsibility

Under the revised rules, manufacturers will shoulder extended producer responsibility (EPR) for the collection and treatment of ELVs. This includes mandatory removal of all liquids, gases, and hazardous substances prior to shredding. The new approach aims to address the estimated 6.5 million vehicles reaching end-of-life annually in the EU.

MEPs called for stricter national inspections and detailed monitoring plans to uncover illegal operations and ensure compliance with ELV regulations.

Cracking down on illegal exports

To curb the export of ELVs disguised as used vehicles, the proposal establishes clear criteria and documentation standards to differentiate functional vehicles from those that should be treated as waste. Only vehicles certified as roadworthy would be eligible for export outside the EU.

Progress mixed with concerns

The European Automobile Manufacturers’ Association (ACEA) acknowledged the Parliament’s efforts, particularly its support for including pre-consumer plastics in recycled content calculations, which makes targets more realistic. However, it expressed serious reservations regarding the burden placed on truck and bus manufacturers.

Sigrid de Vries, ACEA Director General, stated: “The Parliament has made notable progress, particularly on recycled content.

“But crushing legal and financial risks placed unfairly on truck and bus manufacturers are a serious concern at a time when the sector’s competitiveness hangs in the balance.”

ACEA argues that vehicle bodywork – often added by third-party converters – falls outside the direct control of truck manufacturers and should also be included under EPR. Without clarity, manufacturers could be unfairly penalised for components they neither produced nor placed on the market.

A balanced compromise

Co-rapporteurs Jens Gieseke (EPP, Germany – ENVI) and Paulius Saudargas (EPP, Lithuania – IMCO) (pictured) hailed the committee vote as a “success,” noting the broad majority support for the Parliament’s position.

“It promotes a circular economy in the automotive sector. It advances resource security, protects the environment, and ensures sustainability,” they stated. “To avoid overburdening the industry, we secured feasibility with realistic targets, less red tape, and fair competition.”

The proposal passed with 79 votes in favour, 27 against, and 11 abstentions. It is scheduled for debate and adoption in the 8–11 September 2025 plenary session of the European Parliament. Following that, trilogue negotiations with the Council and Commission will determine the final text of the regulation.