This Week in Automotive — Brussels (#22, 2026)
ETS2 market stability reserve overhaul for road transport, buildings; Commission establishes Battery Booster Facility for ramp-up phase; new rules for vehicle registration data exchange; anti-dumping duties renewed.
June 07, 2026 to June 13, 2026
ETS2 market stability reserve overhaul for road transport, buildings; Commission establishes Battery Booster Facility for ramp-up phase; new rules for vehicle registration data exchange; anti-dumping duties renewed.
📋 In This Week's Newsletter
• 🇪🇺 European Commission
• ⚖️ EU Legislation
• 🤝 EU Council
• ✒️ EP Committee Work
• 📚 What We're Reading This Week
European Commission
EU-Republic of Korea Summit: Talks expand cooperation in clean energy and technology
On 9 June 2026, the EU and the Republic of Korea held their 11th Summit in Brussels. European Commission President Ursula von der Leyen and European Council President António Costa met with President Lee Jae-Myung. Both sides agreed to launch a Competitiveness Partnership encompassing trade, supply chains, advanced technologies, and energy. The EU-Korea Digital Trade Agreement was signed, aiming to simplify digital transactions and support mutual economic resilience. A new High-Level Energy Dialogue was established, focusing on energy security and clean transition. The Summit included commitments toward improved market access in agri-food and deepened cooperation on security, information exchange, and combating transnational threats.
EU Legislation (Official Journal)
Commission Decision (EU) 2026/1283 establishes the Battery Booster Facility for electric vehicle batteries
On 11 June 2026, Commission Decision (EU) 2026/1283 established the Battery Booster Facility with EUR 1.5 billion from the Innovation Fund. The Facility offers interest-free loans to ramp up battery cell manufacturing in the European Economic Area, targeting companies lacking commercial-scale operations. Projects must comply with Regulation (EU) 2023/1542 and the 'do no significant harm' principle under Regulation (EU) 2020/852. Ramp-up phase support is defined in Article 4, and eligibility criteria—minimum planned production capacity of 10 GWh—are outlined in Article 6.
Commission Implementing Decision (EU) 2026/1066 sets technical rules for vehicle registration data exchange under Regulation (EU) 2024/982
On 10 June 2026, Commission Implementing Decision (EU) 2026/1066 established uniform technical rules for automated search and exchange of vehicle registration data via EUCARIS. Mandatory and optional data parameters are specified for cross-border police cooperation. The rules enter into force twenty days after publication, as required by Regulation (EU) 2024/982.
Commission Delegated Regulation (EU) 2026/547 amends trade regulation framework for Moldova
Delegated Regulation (EU) 2026/547, adopted 12 March 2026, updates Regulation (EU) 2019/287 to align with the EU-Moldova Association Agreement and Decision No 1/2025 on customs duty elimination. Specific mechanisms for temporary withdrawal of tariff preferences are formalised, extending implementation for certain automotive-related goods.
Commission Implementing Regulation (EU) 2026/1203 renews anti-dumping duties on glass fibre fabrics relevant for automotive composites
On 9 June 2026, Implementing Regulation (EU) 2026/1203 imposed definitive anti-dumping duties on imports of woven and/or stitched glass fibre fabrics from China and Egypt, extended to consignments from Morocco and Türkiye. The expiry review followed Regulation (EU) 2016/1036 and covers composite materials used significantly in automotive manufacturing. Duties range from 33.1% to 69.0% depending on company and country, and remain in force beyond offshore installations and re-exports.
EU Council
Upcoming Environment Council to address amendments to CO2 emission standards for cars and vans
Ministers will discuss the progress of amendments to regulations on CO2 emission standards for cars and vans at the Environment Council on 25 June 2026.
EP Committee Work
ITRE draft opinion on simplifying technical requirements for motor vehicles
On 9 June 2026, ITRE released a draft opinion (rapporteur: Giorgio GORI) on the regulation amending (EC) No 561/2006, (EU) 2018/858, (EU) 2019/2144, and (EU) 2024/1257. The opinion addresses simplification of technical requirements, repeals Directive 70/157/EEC and Regulation No 540/2014, and seeks to update testing procedures for motor vehicles.
JURI committee opinion on legal basis for Austria-Switzerland road transport agreement
On 12 June 2026, the JURI committee issued an opinion (rapporteur: Tobiasz BOCHEŃSKI) concerning Austria's proposal to amend its bilateral road transport agreement with Switzerland. The opinion covers legal empowerment for authorising cabotage operations for international road passenger transport in border regions.
ENVI committee: Political agreement reached on ETS2 market stability reserve for road transport and buildings
On 11 June 2026, ENVI committee negotiators published agreement to amend the market stability reserve (MSR) for ETS2. The top-up increases annual MSR injections to up to 80 million allowances if carbon prices exceed €45 per tonne and alters release mechanisms for market stability. The reserve will not be invalidated post-2030, maintaining the 600 million allowance buffer. The Commission will review application to transport and buildings sectors in 2027, with Rapporteur Danuše NERUDOVÁ.
IMCO committee: Deal on digitalisation and common specifications for EU product compliance
On 9 June 2026, the IMCO committee announced a political agreement promoting digital formats for product information and streamlining EU product compliance, including declarations of conformity and contact details. The agreement introduces 'common specifications' for compliance in absence of harmonised standards and adopts the 'digital by default' principle in administrative requirements.
What We're Reading This Week
- US puts Alibaba, BYD and Baidu on Chinese military blacklist: Major Chinese tech firms face new US restrictions amid heightened concerns over alleged ties to the Chinese military.
- Seven EU countries push Brussels to stick to car emission rules: A coalition of seven EU nations urges the European Commission not to weaken existing vehicle emission standards amid regulatory review.
- China's all-round dominance, from batteries to medicine, from high-speed trains to AI: China rapidly expands global influence across diverse industries, outpacing competitors in technology, infrastructure, healthcare, and innovation sectors.
- How China, the world's factory, transformed itself into an industrial superpower: China’s shift from low-cost manufacturing to high-tech industries is reshaping global supply chains and economic competition.
- What is Tesla? Whatever suits Elon Musk at any given moment: Elon Musk’s shifting vision for Tesla creates ongoing uncertainty about the company’s direction and core identity.
