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German court rejects 2030 ban on petrol and diesel cars for Mercedes and BMW

A landmark ruling secures the future of petrol and diesel vehicles in Germany. Environmentalists lose bid to impose automaker-specific carbon limits.

The image shows a yellow car parked in front of a building, surrounded by barrier poles with ropes,...
The image shows a yellow car parked in front of a building, surrounded by barrier poles with ropes, banners with text, a person sitting inside the car, a pillar, a group of people standing on the floor, sign boards with text on them, a plant in a pot, some ceiling lights to a roof, and a roof with ceiling fans. This car is the world's first hydrogen-powered electric car, which is set to be unveiled at the Frankfurt Motor Show.

German court rejects 2030 ban on petrol and diesel cars for Mercedes and BMW

Germany's highest court has rejected lawsuits aimed at stopping Mercedes-Benz and BMW from selling new petrol and diesel cars after 2030. The ruling came after the environmental group DUH demanded a ban based on individual carbon budgets for each automaker. Both companies welcomed the decision as a clear legal victory.

The case began when the Deutsche Umwelthilfe (DUH) argued that Mercedes-Benz and BMW should face restrictions on combustion-engine sales from November 2030. Their argument relied on a 'carbon budget'—a calculated limit on emissions for each manufacturer. However, the Federal Court of Justice in Karlsruhe ruled that no such budget had ever been assigned to individual firms.

The court upheld earlier decisions from lower courts, dismissing DUH's claims entirely. Neither the federal government nor the Federal Environment Ministry had ever set binding CO₂ limits for specific automakers. As a result, the judges found no legal basis for the proposed sales ban. Both Mercedes-Benz and BMW responded positively to the outcome. The ruling removes uncertainty for carmakers operating in Germany, ensuring they can continue planning production without sudden legal restrictions.

The decision confirms that no individual carbon budgets exist for German automakers. Mercedes-Benz and BMW will remain free to sell combustion-engine vehicles beyond 2030 unless future laws change. The verdict provides legal clarity for businesses but leaves environmental groups without a direct path to enforce stricter limits.

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