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IMechE - Carmakers face big fines from EU over emissions

A study has revealed that several carmakers are likely to incur fines of hundreds of millions of euros by missing EU-mandated emissions reduction targets.

According to an analysis by PA Consulting Group, five European car firms will miss the targets set by the EU, which require new car fleets to not emit more than an average of 95g of CO2 per kilometre.

The EU plans to fine manufacturers €95 for every gram of CO2 above company-specific targets, multiplied by the number of cars they sell in 2020. The PA analysis therefore estimates that BMW will need to budget for €350 million in penalty payments, Fiat Chrysler €600 million and Volkswagen up to €1 billion.