The State of European Transport report reveals that, while transport emissions in Europe are starting to fall, the rise in air travel is undermining the carbon savings made by the growing electric vehicle market. In 2024, Europe's transport sector emitted 1.05 billion tonnes of CO2, a 5% reduction from 1.1 billion tonnes in 2019. Electric cars have played a key role in this decline, with the number of battery electric vehicles (BEVs) in Europe’s car fleet rising sharply. By the end of 2025, T&E predicts that nearly 9 million EVs will be on Europe’s roads. Without this shift, an additional 20 million tonnes of CO2 would have been released, equivalent to the emissions of seven coal power plants.

T&E’s executive director, William Todts, emphasised the importance of the EU's green policies, stating: “The EU’s green policies are beginning to bite. Thanks to the switch to EVs, we are starting to see a structural decline in transport emissions. Europe is slowly releasing itself from its dependence on oil, but we are still spending hundreds of billions on imports from overseas powers. Now is not the time to roll back green measures. For the continent’s prosperity and security, now is the time to double down.”

While the EU’s green policies show promise, Europe still imports 96% of its crude oil and 90% of its natural gas. Critical materials for electric vehicle batteries, such as lithium, nickel, and aluminium, are also largely imported. However, these materials can be recycled, offering a more sustainable alternative to fossil fuels. T&E’s analysis projects that by 2030, 25% of the cobalt used in EV batteries could be supplied via recycling. Furthermore, it notes that over an EV's lifetime, it will consume just 20 litres of materials for its battery, compared to more than 12,400 litres of fuel for a traditional combustion engine vehicle.

Despite these gains, air travel continues to be a major challenge for carbon reduction. Europe’s airlines emitted 143 million tonnes of CO2 last year, marking a 10% increase from 2023. Similarly, emissions from Europe’s shipping sector remain high at 195 million tonnes of CO2. Both sectors are still heavily reliant on fossil fuels, although shipping is now included in the EU’s carbon market (ETS), with both aviation and shipping expected to raise €5 billion in 2024. These funds could help bridge the price gap between green e-fuels and traditional fossil fuels, potentially increasing to €30 billion annually by the end of the decade.

As the EU works to meet its 2030 climate goals, the continued growth of electric vehicles and the ongoing investment in clean transport technologies will be vital to ensuring a sustainable and energy-independent future for Europe.