This Week in Automotive — Brussels (#27, 2026)
Commission unveils Electrification Action Plan; ETS review focuses on industrial decarbonisation; New EU cabotage rules for Austria-Switzerland; Digital product passport implementing rules published.
July 12, 2026 to July 18, 2026
Commission unveils Electrification Action Plan; ETS review focuses on industrial decarbonisation; New EU cabotage rules for Austria-Switzerland; Digital product passport implementing rules published.
📋 In This Week's Newsletter
• 🇪🇺 European Commission
• ⚖️ EU Legislation
• ✒️ EP Committee Work
European Commission
Commission launches Electrification Action Plan and ETS review
On 16 July 2026, the European Commission presented the Electrification Action Plan, setting an indicative electrification target of 46% by 2040 as part of the post-2030 Energy Union package. The Action Plan aims to address Europe’s reliance on fossil fuels by accelerating electrification across industry, transport, and buildings, including measures to reduce the electricity-to-gas price gap and support social leasing schemes for EVs and heat pumps. Concurrently, the Commission announced the review of the Emissions Trading System (ETS), with revised Linear Reduction Factor values for 2031-2035 and 2036-2040, expanded support for maritime and aviation, integration of permanent carbon removals, and a new €100bn Industrial Decarbonisation Bank. Commissioners Teresa Ribera, Wopke Hoekstra, and Dan Jørgensen underscored the economic and competitiveness benefits of these initiatives during a joint press conference.
ec.europa.eu | ec.europa.eu | ec.europa.eu
Commission proposes €6.5 million for dismissed automotive workers in Spain
On 15 July 2026, the Commission proposed €6.5 million from the European Globalisation Adjustment Fund (EGF), including €2.7 million for 671 workers dismissed from automotive companies in Galicia, Spain, affected by investment shifts toward electrified platforms and supply chain disruption. The package covers counselling, reskilling, and financial allowances, with support beginning 1 September 2026, subject to approval by Parliament and the Council.
EU Legislation (Official Journal)
Implementing Regulation (EU) 2026/1778: Operational rules for digital product passport registry
Commission Implementing Regulation (EU) 2026/1778 of 16 July 2026 sets out operational arrangements for the digital product passport registry as required under Regulation (EU) 2024/1781. The regulation details the technical structure, verification procedures, access management for economic operators and value chain actors, and log systems—including audit trails used by national authorities for products including automotive parts and batteries. It enters into force 20 days after publication in the Official Journal.
Decision (EU) 2026/1769: Austria authorised to amend coach and bus cabotage rules with Switzerland
Decision (EU) 2026/1769 of 14 July 2026 empowers Austria to amend its 1958 bilateral road transport agreement with Switzerland, authorising cabotage operations for international passenger transport by coach and bus in specific border regions. The change is conditional on non-discrimination and no distortion of competition, and aligns with Regulation (EC) No 1073/2009.
Commission Implementing Decision (EU) 2026/1736: Harmonised standards for digital product passports
Commission Implementing Decision (EU) 2026/1736 of 14 July 2026 publishes references for EN 18216:2026 through EN 18223:2026, the harmonised standards underpinning digital product passports for sustainable products under Regulation (EU) 2024/1781. Compliance with these standards confers presumption of conformity with key product requirements.
EP Committee Work
TRAN Committee: Amending vehicle CO2 standards and vehicle labelling—consideration of amendments
On 15 July 2026, the European Parliament Transport Committee (TRAN) discussed amendments to the draft regulation COM(2025)0995 on CO2 emission performance standards for new light duty vehicles and repealing Directive 1999/94/EC. Rapporteur Jens Gieseke (PPE) presented the amendments, with opinions from ITRE and TRAN and ENVI taking lead responsibility.
INTA Committee: Evaluation report on Foreign Subsidies Regulation and impacts for automotive supply chains
On 14 July 2026, the International Trade Committee (INTA) received a presentation from the Commission on the Foreign Subsidies Regulation (FSR), including case studies in the threat detection and wind sectors and implications for supply chains. The review covers reporting burdens, notification thresholds, and launched investigations relevant to industrial domains with significant automotive links.
ITRE Committee: Ordinary meeting—industry electrification and digital product passport implementation
On 13 July 2026, the ITRE Committee held an ordinary meeting in Brussels, with agenda items covering industry research and energy. Discussions included the impact and implementation of the Electrification Action Plan, support for digital product passports in industrial supply chains, and progress on guidance for vehicle-to-grid pilots.
