European Union Loosens Safety Rules To Push Cheap Electric Cars

JAKARTA The European Union is reportedly preparing strategic steps in the automotive sector by designing a new category called "cheap electric cars". This category is intended for small electric vehicles, simpler technology, and lower production costs than conventional EV models.

Based on the latest data towards the end of 2025, the cheapest electric car sold in Europe and comes from a genuine European manufacturer is Dacia Spring. The car is produced by Dacia, a brand owned by Renault Group (French manufacturer from Europe), and assembled at the Mioveni factory, Romania. The price is around 14,200 euros or equivalent to Rp273 million (before government incentives).

According to reports from a number of international media, the official draft of this proposal is said to be due soon. Nikkei even said the European Union would provide looser technical requirements to reduce production costs for European manufacturers.

This move is seen as an effort to strengthen competitiveness, especially in the face of the onslaught of China's increasingly aggressive EV producers in the European market. As reported by Carscoops, Wednesday, December 10.

One of the points considered is the removal of certain safety features, including the drowsiness detection system which is usually intended for long-distance cars. With simplifications like this, the price of small electric cars can be cut to 10'20 percent.

Interestingly, the initial criteria being discussed open up opportunities for Japanese kei cars to immediately meet these standards without any significant modifications. If this rule is passed, Japanese manufacturers can export existing models to Europe without major adjustments, making it a very attractive market opportunity.

Automotive World assesses that this step will also be a breath of fresh air for a number of large brands such as Stellantis, Renault, and Volkswagen. Where, the three automotive groups already have small EV portfolios and are preparing a new model.

However, the process will not take place quickly. After the draft proposal is introduced, the EU bureaucratic mechanism will proceed gradually. This regulatory change is estimated to take several years before the category of cheap electric cars is actually implemented.