New EU Car Rules Put Recycling at the Centre of Vehicle Design

The European Parliament has backed new circular economy rules intended to change how cars are designed, sold, dismantled and recycled across the bloc.

Approved on Thursday, 18 June 2026, the regulation aims to make vehicles less wasteful throughout their entire lifespan. It was supported by 437 MEPs, with 112 voting against and 20 abstaining, after Parliament and the Council reached a deal on the text in late 2025.

Under the new framework, manufacturers will have to design vehicles so that more components can be removed easily. The goal is to make repairs, reuse and recycling more efficient once a vehicle is no longer in service.

The law also sets new requirements for recycled plastic in vehicles. Within six years, each new vehicle type will need to contain at least 15% recycled plastic. That target rises to 25% within ten years. At least one fifth of the recycled plastic must come from end-of-life vehicles or used vehicle parts, strengthening the link between old cars and new production.

The European Commission may later extend similar recycled-content targets to other materials, including steel, aluminium, magnesium and critical raw materials, if studies show this is practical.

Used vehicle sales will also be brought under tighter rules. Businesses selling second-hand vehicles will need to prove that the vehicle is not an end-of-life vehicle or provide a valid roadworthiness certificate. Private sellers will generally be exempt from these checks unless the vehicle has been declared a total economic loss or the sale is completed entirely through an online platform.

Manufacturers will also be made financially responsible for what happens to vehicles when they reach the end of their use. Three years after the regulation enters into force, carmakers will have to cover the cost of collecting and treating end-of-life vehicles anywhere in the EU.

The regulation is also designed to clamp down on so-called missing vehicles, which may be dismantled illegally or exported without proper checks. Five years after the rules take effect, vehicles declared non-roadworthy will no longer be allowed to be exported.

Jens Gieseke and Paulius Saudargas, the Parliament co-rapporteurs on the file, said the legislation would help the automotive industry move towards a circular economy while improving resource security and environmental protection. They said the final text sought to balance ambition with realistic targets, less bureaucracy and fairer competition.

The regulation must still be formally approved by the Council before it can enter into force. It will begin applying 24 months after that point.

The European Commission first proposed the measure on 13 July 2023 as part of its wider work on the European Green Deal and circular economy action plan.

According to EU figures, 14.8 million motor vehicles were produced in the bloc in 2023, while 12.4 million were registered. The EU has 285.6 million vehicles on its roads, and about 6.5 million reach the end of their lives each year.