CO2 Emissions from New Passenger Cars in Europe: Car Manufacturers’ Performance in 2023
A recent briefing analyzed the carbon dioxide (CO2) emission levels of new passenger cars in the European Union (EU) for 2023, based on preliminary data from the European Environment Agency. The study found that all manufacturers met the EU CO2 emission targets, with average emissions falling 1 g/km compared to 2022, marking a decrease of 1.5%. In total, 10.7 million new cars sold in 2023 had average CO2 emissions of 107 g/km, as measured by the Worldwide Harmonized Light Vehicles Test Procedure (WLTP).
Historical CO2 Emission Trends
The pace of CO2 emission reductions has varied over the years, with reduction rates generally accelerating as deadlines approach. Between 2000 and 2007, before the first standards were agreed in 2008, fleet CO2 emissions declined by 1.9 g/km per year on average. From 2008 to 2015, manufacturers exceeded the annual reduction rates required to meet the 2015 target of 130 g/km, with average CO2 emissions dropping by 4.9 g/km per year. All manufacturers met their target in 2015.
Manufacturer Performance in 2023
Car manufacturers can pool together several brands to meet CO2 targets. Data for nine manufacturer pools, representing approximately 94% of all new passenger car registrations in the European Economic Area in 2023, showed that all manufacturer pools met their 2023 CO2 targets, even without using flexible compliance mechanisms. Eco-innovation technologies lowered CO2 emission levels by 0.4 to 2 g/km.
Fuel Type and Technology Trends
The uptake of electric vehicles increased from 2022 to 2023, with the share of battery electric vehicles (BEVs) growing by 2.1 percentage points (from 13.4% to 15.5%), while the share of plug-in hybrid electric vehicles decreased by 1.8 percentage points (from 9.6% to 7.8%). Norway continued to dominate the European BEV market, with more than 83% of new car registrations in 2023 being BEVs. Most manufacturer pools had a BEV share above 10% in 2023, led by BMW with almost 20%.
