Officials announced on Saturday that the European Union and Germany had achieved an agreement on the use of combustion engines in the future. The car industry had been closely watching this issue.

The planned phase-out of CO2-emitting cars in 2035 had caused a rift between the bloc and its largest economy, but officials have recently given signs that a resolution was imminent.

Germany had requested assurances that new combustion engine automobiles can continue to be marketed after the deadline if they operate on e-fuels, and some of Germany’s powerful auto sector supported this demand.

Head of EU climate policy Frans Timmermans tweeted, “We have struck an agreement with Germany on the future use of e-fuels in autos.”

Volker Wissing, the German transport minister, claimed that “the way is clear” following the late-Friday agreement.

If they only fill up with CO2-neutral fuels, internal combustion engine cars can still be newly registered after 2035, he wrote in a tweet.

(Reuters)