EXPLAINED: How the EU’s 2035 car emissions U-turn affects Czech buyers

A new 10% loophole for hybrids and e-fuels offers a lifeline to Czechia’s auto sector while preventing a price shock for owners of the EU's oldest fleet.

Thomas Smith

Written by Thomas Smith Published on 17.12.2025 13:24:00 (updated on 17.12.2025) Reading time: 3 minutes

Business & Money
Shutterstock by Mino Surkala
Shutterstock by Mino Surkala

The EU on Tuesday eased its planned ban on new combustion engine sales from 2035, dialing back a key climate rule in a move that directly affects Czech consumers and the country’s car-driven economy.

The Commission’s climbdown follows a week of open defiance from Prague, coming just 24 hours after Prime Minister Andrej Babiš’s new cabinet formally refused to implement the EU’s ‘carbon tax’ on homes and fuel (ETS 2).

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For Czechia, where the automotive sector underpins jobs and exports, the change means greater choice and potentially lower costs for buyers over the next decade. Here’s the lowdown on what this means for your wallet.

#business #car emissions #cars #czech economy #economy #envrionment #EU #EU law #Finance #Money Matters
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