The EU lowering their EV tariffs, Hyundai focusing on hybrid tech, and the fines facing EU manufacturers for CO2 targets.

You're probably experiencing contrasting emotions right now. On the one hand, you're absolutely buzzing that another edition of The Automotive Roundup has been released. But on the other hand, you're sad that British summertime is coming to an end. I feel for you.?

Although there's been no standout story over the past two weeks, the fast-paced nature of the automotive industry never fails to please. We discuss:?

• The EU might be reducing their EV tariffs?
• Hyundai shifting focus to hybrid technology?
• Volkswagen and Ford facing fines for missing CO2 goals?

As always, we'll discuss these stories in three hundred words or less. Check it out below:?

The EU lowers tariffs on some of the largest Chinese exporters to Europe

The developments of this story have been a constant in our newsletter for quite some time now. Back in late August, the European Commission lowered its proposed tariff on EVs exported to Europe from China.?

Initially, the EU proposed a hefty 20% tariff on all Tesla Model 3's made in their Shanghai factory and shipped to Europe. However, after reconsideration, they reduced the tariff to 9%.?

They've also reduced the tariff imposed on some of the largest Chinese manufacturers. BYD's is down to 17%, Geely to 19%, and SAIC to 36%.?

BMW and Volkswagen will also benefit from this change. Thanks to joint ventures in China, BMW's Chinese-made Mini electric faces a reduced tariff of 21%, and so does Volkswagen's Cupra Tavascan.?

The tariffs imposed by the EU aim to level the playing field for European automakers, but the reduction now doubts this. It's believed that the reduction was proposed to avoid a trade war, but it seems to me that the EU has panicked.?

I suspect that if the reduction goes ahead, Chinese manufacturers will be pretty happy with the outcome. They'll still be able to out-price their European counterparts.?

I guess we'll have to wait and see.?

Hyundai shifts focus to hybrids instead of EVs?

At their annual Investor Day on 28 August, Hyundai announced they'll be doubling their hybrid lineup from seven to 14 models. The reason? Because they believe that the global hybrid market will more than triple by 2028.?

They'll produce two new gasoline-electric drivetrains and a second generation of their existing hybrid system. The latter of which will be deployed across the entire lineup and also used in their premium brand, Genesis.?

You can't really blame them either. The last couple of years have shown a slowdown in worldwide EV sales and a pickup in hybrid sales. According to the European Automobile Manufacturers Association, hybrid-electric cars are the only ones that have increased their market share from the previous year.?

Hyundai also forecasts hybrid sales to increase to 220,000 in 2028, a huge increase from around 150,000 this year.??

This is a clever move by Hyundai. While many other manufacturers seem to be caught with their blinkers on only focusing on EVs, Hyundai is jumping the gun to get ahead of the rest.?

As we mentioned in our last edition, until the infrastructure and grants improve for EVs, it's hard to see the average motorist switch. While on the other hand, a lot can be said for hybrids.??

They're cheaper, can travel long distances without needing to be charged, and are also perfect for inner-city driving.?

If you're looking for more information on hybrid cars, check out our guide, What is a hybrid car and is it right for me?

Volkswagen and Ford facing fines for missing EU CO2 2025 targets?

Due to new emissions targets coming into effect in 2025, automakers in Europe are facing an uphill battle to meet their targets. Of the major brands, Ford and Volkswagen face the biggest gap and are unlikely to meet their targets.?

The 2025 target for new cars is an average of 93.6 grams of CO2 per kilometre, down from 116 grams in 2021. However, each carmaker has its own target, depending on the type of car it sells.?

If automakers miss these targets, they'll face fines of €95 per car for every gram over the limit. For reference, the fines dished out in 2021 totalled to €550 million.?

Currently, Tesla and Geely are the only manufacturers below their 2025 targets. Ford and Volkswagen are way off, but there's no quick fix available.?

Essentially, to reduce their emissions, manufacturers need to sell a higher proportion of electric cars. But, demand is dwindling across the continent thanks to poor infrastructure and rising EV prices.?

What does this mean? Obviously, manufacturers will be trying to push their electric vehicles, but I'd also expect a huge rise in hybrid vehicles as they strike the perfect balance for the consumer.?

I'd also expect a price hike in petrol and diesel vehicles as manufacturers try to balance things out to facilitate their shift to electric.?

That's it for this fortnight's edition. What do you think about the news, and more importantly, will you be considering a hybrid vehicle moving forward? Let us know in the comments.?