Euro 7 costs '10 times higher than EC estimates'

Brussels – The EU's proposed Euro 7 emissions-reduction rules will increase manufacturing costs by four to 10 times more than estimates being cited by the European Commission.

That's according to new study conducted by Frontier Economics on behalf of the European Automobile Manufacturers’ Association (ACEA). 

The Euro 7 proposals set stricter emission limits than the current regulation Euro 6/VI and extend it to particle emissions from brake wear and tire abrasion.

The proposed regulation would, for example, add around €2,000 to the per-vehicle manufacturing cost of internal combustion engine cars and vans, said ACEA.

Meanwhile, Frontier Economics estimated that the cost of manufacturing diesel trucks & buses would rise by about €12,000 per vehicle.

These figures are in stark contrast with estimates in the EC's own Euro 7 impact-assessment: forecasting increases of €180-450 for cars and vans, and €2,800 for trucks & buses.

Frontier Economics' estimates comprise direct manufacturing costs only, noted ACEA, warning that the Euro 7 proposals would drive up prices for end-users even more. 

With current Euro 6/VI rules, the EU has the most comprehensive and stringent standards for pollutant emissions in the world, believes Sigrid de Vries, director general of the ACEA.

The Euro 7 proposals "would have an extremely low environmental impact at an extremely high cost," according to the association leader.

Greater environmental and health benefits, he concluded, "will be achieved by the transition to electrification, while replacing older vehicles with highly efficient Euro 6/VI models.”