BYD in advanced talks to form pool in Europe over carbon credits

10 February 2025 - 15:34 By Reuters
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Chinese EV giant BYD is in talks to form a pool with European carmakers and sell them carbon credits to help them avoid hefty EU fines on 2025 emissions, a BYD representative said on Monday.
Chinese EV giant BYD is in talks to form a pool with European carmakers and sell them carbon credits to help them avoid hefty EU fines on 2025 emissions, a BYD representative said on Monday.
Image: Valeria Mongelli/Anadolu via Getty Images

Chinese EV giant BYD is in talks to form a pool with European carmakers and sell them carbon credits to help them avoid hefty EU fines on 2025 emissions, a BYD representative said on Monday.

“We're in talks, we are well under way,” BYD's special adviser for Europe Alfredo Altavilla said during a car presentation in Italy.

He did not offer further details.

Earlier this year carmakers announced the creation of two pools, one with EV maker Tesla, Stellantis, Toyota, Ford, Mazda, Subaru, and another one between Germany's Mercedes, Polestar, Volvo Cars and Smart.

Companies with lower EV sales can pool their emissions with EV market leaders, purchasing emissions credits from them to lower their overall averages and save them hundreds of millions of euros in EU fines.

Carmakers have to notify the European Commission of pooling agreements by December 31 of each year.

Brussels can request extra information about the agreements, but not assess their commercial terms.

Pool participants must not share data or exchange information other than about average specific emissions of CO2, specific emissions targets and the total number of vehicles registered.


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