LONDON (Reuters) – Proposed Euro 7 emissions regulations will lead to direct costs for auto manufacturers that are up to 10 times higher than the European Commission’s forecasts, Europe’s car industry group said on Tuesday, citing a new study.<\/p>\n\n\n\n
The European Automobile Manufacturers Association (ACEA) said a study by consultancy Frontier Economics found that the direct costs for petrol cars and vans – including type approval, investment and equipment costs – to comply with Euro 7 would be 1,862 euros ($2,050) per vehicle, versus the Commission’s estimate of 184 euros per vehicle.<\/p>\n\n\n\n
The study said direct costs for buses and trucks would average 11,707 euros per vehicle, compared with a Commission estimate of 2,765 euros.<\/p>\n\n\n\n
The ACEA said the increase in prices for consumers and companies buying those vehicles would be even higher.<\/p>\n\n\n\n
“The European auto industry is committed to further reducing emissions,” ACEA Director General Sigrid de Vries said in a statement. “However, the Euro 7 proposal is simply not the right way to do this, as it would have an extremely low environmental impact at an extremely high cost.”<\/p>\n\n\n\n
European carmakers have been fighting back against Euro 7, arguing the regulations are too costly and unnecessary because the industry is spending tens of billions of euros in zero-emission electric vehicles (EVs).<\/p>\n\n\n\n
But the European Commission says the regulations are needed to cut harmful emissions and prevent a repeat of Volkswagen AG (OTC:VWAGY)’s so-called Dieselgate emissions scandal of 2015.<\/p>\n\n\n\n
European Union countries and lawmakers will negotiate proposals this year for tighter limits for diesel – but not petrol – car emissions and for heavy-duty trucks and buses, including nitrogen oxide and carbon monoxide.<\/p>\n\n\n\n
Euro 7 would take effect in mid-2025 for cars and in mid-2027 for trucks and buses.<\/p>\n\n\n\n
Last week Italy’s transport minister said the country and its EU allies “have the numbers” to block Euro 7.<\/p>\n\n\n\n
($1 = 0.9084 euro)<\/p>\n