Vans: Europe’s decarbonisation blind spot

Europe's electric car market is gaining speed, but vans are being left behind. With barely 10% electrification today, vans are not just lagging: they expose a structural blind spot in Europe's decarbonisation strategy.

Yet, with more than 1.8 million units produced in 2025, accounting for 13% of EU vehicle production and 15.4% of global van output, this segment holds clear strategic importance for Europe's automotive footprint.

This is not a failure of supply. More than 70 battery-electric van models are already available on the EU market, covering a wide range of professional uses. The real constraint lies in demand, and in a persistent misunderstanding: vans are not cars.

For most users, vans are not a lifestyle choice, but a working tool. They are the backbone of last-mile logistics and a lifeline for Europe's SMEs, powering industries worth nearly 1 trillion euros. Their operating needs are fundamentally different to passenger cars, with very little margin for compromise, as they must guarantee uninterrupted business continuity.

That gap is where electrification stalls.

Charging infrastructure is the most immediate barrier. For van operators, it is not just about the number of charging points, but whether they fit real-world use. Affordable and accessible fast-charging during the day, reliable overnight charging, dedicated depots or charging places: these are not "nice-to-have", but operational necessities. Without them, electrification is not just inconvenient, it is unsustainable.

Payload constraints add further friction. Larger batteries often mean sacrificing load capacity or crossing into higher regulatory weight categories, triggering stricter and costlier requirements, such as speed limiters and tachographs. The result is hesitation, not faster adoption.

Cost remains equally decisive. Vans are highly price-sensitive vehicles and businesses look not just at the purchase price, but at the total cost of ownership. At the same time, existing fiscal incentives are both lower and less consistent than those available for passenger cars, weakening the business case for electrification.

If vans are to avoid becoming the weak link of Europe's decarbonisation efforts, regulation must adapt.

First, targets must be credible. Current policy assumes electrification will rise from almost 10% to nearly 40% in four years and close to full electrification by 2035. This is not just ambitious, it is a disconnect from the realities of a segment dominated by SMEs. A more gradual pathway, with maximum 35% CO2 reduction by 2030 and 80% by 2035, is necessary for demand to catch up.

Second, flexibility is essential. Introducing five-year averaging periods (2025-2029 and 2030-2034) would better reflect the volatility of the market. By allowing non-compliance in one year to be offset by over-performance in others, manufacturers can avoid penalties and re-invest in electrification, while cumulatively saving the same amount of CO2.

Third, regulatory inconsistencies, particularly weight thresholds that penalise electric vans, must be corrected to remove unintended barriers to adoption.

Finally, support must target what matters most: infrastructure tailored to commercial use cases and targeted financial incentives that reflect the economic realities of van operators.

Vans are falling behind in Europe's decarbonisation journey, yet they receive far less attention than passenger cars. Addressing this blind spot is urgent. If vans are central to Europe's economy, their transition must be designed around how they actually operate.