London: British Prime Minister Keir Starmer has announced a relaxation of electric vehicle (EV) sales targets for automakers, signaling a strategic shift aimed at protecting domestic industries from the potential fallout of newly imposed U.S. trade tariffs under President Donald Trump.
While reaffirming that the 2030 deadline for phasing out new petrol and diesel vehicles will remain intact, the UK government has introduced a more flexible plan that permits the sale of full hybrid and plug-in hybrid models—such as the Toyota Prius and Nissan e-Power—until 2035. The move offers carmakers a longer transition window amid global market volatility.
“Global trade is being transformed so we must go further and faster in reshaping our economy,” Starmer said in a statement as he laid out the updated roadmap.
In a move designed to support British innovation and heritage, the government will exempt small-volume manufacturers—including iconic names like McLaren and Aston Martin—from Zero Emission Vehicle (ZEV) mandate targets. The exemption seeks to protect Britain’s luxury supercar segment and its high-value engineering sector.
Starmer also emphasized the UK’s continued push for a comprehensive trade agreement with the United States that could potentially include tariff exemptions. However, he noted the government stands ready to implement measures to “shelter” British businesses from economic harm should negotiations fall short.
Also Read | Mali-Algeria Dispute Over Drone Ignites Regional Diplomatic Fallout
The United States remains the UK automotive industry’s second-largest export market after the European Union. British manufacturers exported over one million cars to the U.S. in 2024, generating revenues worth approximately £7.6 billion ($9.79 billion). Many of these vehicles are high-end or premium models particularly vulnerable to punitive tariffs.
Despite growth in the EV market, consumer adoption remains uneven. While fleet and commercial purchases have driven recent sales increases, private buyers have shown reluctance—only 10% of them opted for electric vehicles last year. In March, EVs accounted for 19% of total car sales, significantly below the 28% benchmark required under the original 2025 ZEV mandate.
Also Read | Australia’s Opposition Drops Return-to-Office Policy Amid Election Pressure
Industry experts suggest that easing EV mandates will buy British manufacturers time to innovate while avoiding potential trade-related shocks.
