The European Union’s planned 2035 ban on new internal combustion engine (ICE) vehicles is reshaping the automotive market, supply chains, and OEM strategies. By 2025, over 60% of EU passenger vehicle sales are projected to be electric or hybrid, accelerating the transition to EVs ahead of the ICE phase-out. OEMs are reallocating R&D budgets, with €45–50 billion invested in EV technology by 2030, and updating product portfolios to meet regulatory compliance and consumer demand.
‍

Analysis indicates that ICE ban enforcement will require charging infrastructure expansion by 35–40% across urban and highway networks, alongside battery production scaling to support projected EV adoption. Companies delaying EV integration risk losing 15–20% market share by 2035, while early movers capture the growing segment of environmentally conscious buyers. Total EU-wide investment in EV supply chains, including battery gigafactories, raw material sourcing, and assembly plants, is estimated at €120–130 billion by 2035, with expected efficiency gains reducing per-vehicle production costs by 10–15%.
‍

The EU 2035 ICE ban is not just a regulatory milestone it is a strategic pivot point for OEMs, suppliers, and investors, demanding aggressive portfolio shifts and capital allocation to succeed in a fully electrified European automotive market.
‍

5 Key Quantitative Takeaways (2025–2035, EU):
‍

• EV/hybrid share of passenger vehicle sales: >60% by 2025
• OEM EV technology investment: €45–50B by 2030
• Required charging infrastructure expansion: 35–40%
• Potential market share loss for late adopters: 15–20%
• EU-wide EV supply chain investment: €120–130B by 2035
  ‍

Download the full report to explore EU regulatory frameworks, OEM portfolio strategies, and capital investment requirements ahead of the 2035 ICE ban.

‍

• Request a Customized Transcript: Submit your own questions or specify changes. We’ll conduct a new call with the industry expert, covering both the original and your additional questions. You’ll receive an updated report for a small fee over the standard price.
• Request a Direct Call with the Expert: If you prefer a live conversation, we can facilitate a call between you and the expert. After the call, you’ll get the full recording, a verbatim transcript, and continued platform access to query the content and more.

‍