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EU Transport Ministers held an exchange of views on the proposed Regulation on Clean Corporate Vehicles during the Transport Council meeting on 8 June, revealing significant divisions amongst Member States on both the substance of the proposal and the choice of regulatory instrument. While several Member States acknowledged the importance of reducing emissions from corporate fleets, many questioned whether binding EU legislation is the appropriate approach. Several delegations reiterated their preference for non-legislative measures, recommendations, or incentives that would allow greater flexibility at national level.

France emerged as one of the strongest supporters of the proposal, alongside Lithuania, Croatia, and the Netherlands. Other Member States, including Greece, Luxembourg, and Finland, expressed support for the overall objectives of the proposal but highlighted concerns that would need to be addressed before any compromise could be reached. Particular attention was drawn to Article 4, which relates to financial support measures. Opposition to the proposal remained substantial. Several Member States (including Italy, Poland, and several other Central and Eastern European Member States) called for the proposal to be withdrawn in favour of recommendations. Germany, while not formally aligned with that group, also indicated that it was not supportive of a regulation and expressed particular concerns regarding Article 4, arguing that it could interfere with national taxation competences. Sweden suggested that a non-regulatory approach should be considered and, failing that, called for a significantly narrower scope together with further simplifications and clarifications.

The discussion also highlighted the close links between this proposal and other ongoing initiatives within the automotive policy framework, including negotiations on the wider Automotive Package and the proposed Industrial Accelerator Act. Several delegations stressed that progress on the Clean Corporate Vehicles proposal cannot be viewed in isolation from these parallel discussions.

CLECAT has also expressed reservations regarding several aspects of the proposal. We support maintaining the exclusion of heavy-duty vehicles (HDVs) from the scope of the proposal and stress that any fleet decarbonisation measures must be aligned with infrastructure availability, electricity grid readiness, and operational realities. CLECAT has further highlighted the potential indirect impact on SMEs through leasing, rental, and financing markets, as well as the need to preserve Member States' competences in relation to taxation and fiscal incentives.

Additionally, CLECAT has cautioned against introducing requirements linked to the production origin of vehicles under support schemes and has warned that divergent national approaches to fleet-greening targets could increase market fragmentation and create additional complexity for companies operating across borders.