Emissions possible: EU petrol ban quashed

What It Covers

The EU reverses its 2035 petrol car ban, allowing 90% emissions cuts instead of full prohibition. Donald Trump prepares to nominate a new Federal Reserve chair amid concerns about political interference in monetary policy independence.

Key Questions Answered

• •EV Adoption Reality: European electric vehicle sales reach only one in five cars in 2025, projected to hit three-quarters by 2035 at best, far below expectations due to higher costs, limited small car models, and inconsistent government subsidies like Germany's collapsed sales after removing incentives.
• •Chinese Competition Threat: Chinese automakers capture 10.7% of Western European market share despite hefty EU tariffs, growing one percentage point year-over-year through hybrid vehicles not subject to tariffs, forcing European manufacturers to maintain electrification plans to compete in China and global South markets.
• •Fed Chair Politics: Kevin Hassett leads as Trump's likely Federal Reserve chair nominee, transitioning from technocratic economist to political operator over the past decade, raising unprecedented concerns about partisan influence over monetary policy traditionally governed by independent technocracy regardless of party affiliation.
• •Monetary Independence Risk: Trump's potential to simultaneously appoint the Fed chair, replace Lisa Cook through court action, and fill Jerome Powell's vacated board seat in May creates unprecedented executive influence over Federal Reserve decisions, particularly concerning interest rate cuts to reduce government debt servicing costs.