ACEA

Harmonisation of Rules and Standards

The importance of streamlining regulation and technical standards in boosting automobile industry competitiveness

Common standards and regulations are essential to the competitiveness of the European automobile sector. They reduce costs, improve economies of scale and boost export opportunities in markets across the globe.

Harmonisation also benefits the environment and improves vehicle safety. Technologies that cut emissions and bring safer vehicles to roads can be introduced more rapidly and more cost-effectively if regulations are applied globally and test criteria agreed internationally.

There is an urgent need to adopt fully harmonized Global Technical Regulations on emission certification testing, on-board diagnostics and off-cycle emissions. Deviation from UNECE rules without justification from facts and data is unacceptable.

International standards for fuel quality are also important. Parts of the Commission’s Fuel Quality Directive on high-blend biofuels are unhelpful, threatening to fragment the market even within Europe. Highlighting a limit for metallic additives could also damage sensitive vehicle components, leading to higher emissions and premature component failure.

The automotive sector is global in nature. National boundaries define production bases, but do not reflect the myriad export opportunities that exist across international borders.

Every year, automotive exports worth €77.5 billion are delivered to markets outside the EU. 40% are destined for the US. Yet to reach these different markets, car and commercial vehicle makers are often forced to adjust production programmes to comply with varying national regulations and standards in areas like emissions and safety. This barrier to market adds unnecessary costs, damaging competitiveness.

CARS 21 highlighted the importance of harmonisation. Global standards and regulations bring certainty to manufacturers, allowing them to plan and develop products for international markets in the long term, enhancing competitiveness of the European industry.

Europe has been at the forefront of international harmonisation efforts since the establishment of the 1958 Agreement of the United Nations Economic Commission for Europe (UNECE) on technical standards. In 1998, this was extended by so-called Global Agreement.

Currently, 126 Regulations have been developed under the 1958 Agreement, covering most of the safety, emission and powertrain aspects. These regulations are applied partly mandatory, partly optional by the EU, Japan, Korea and a number of other countries all over the world, including some developing markets. ACEA welcomes the decision by the EU to delete a large number of EU standards on vehicle safety (passenger cars as well as trucks) and replace them by direct reference to the UNECE regulations. This will be implemented through the general safety regulation, recently approved by the EU institutions.

At the same time, it is important to motivate as many countries as possible to adhere to the 1958 Agreement. Therefore, ACEA and the EU suggested to include many of the new technologies in the UNECE regulations on an if-fitted (optional) basis, whilst they will be mandated in the EU. Under the 1998 Agreement, currently 9 “Global Technical Regulations” have been adopted. These GTRs are the basis for the harmonisation of national vehicle standards all over the world.

The European industry will also continue to work with counterparts in North America and Asia to pursue commonality in rules relating to road safety, emissions, fuel quality and intellectual property rights.

Vehicle standards

In 2008, truck makers set out the case for adopting international standards on UNECE Global Technical Regulations. They argued that harmonisation would help deliver the cleanest trucks and passenger vehicles to market more quickly, benefiting the environment while enhancing industry competitiveness.

Governments across the globe are applying policy instruments to control road transport emissions by regulating tailpipe limits. However, the approach can vary significantly from market to market. In the US, Europe and Japan, this has led to different technical solutions for standards, test criteria and permitted emission levels. For commercial vehicle manufacturers, this has led to higher operating costs and longer lead-times in bringing the cleanest new models to market.

Harmonising technical regulations on areas like tests, emission limits and on-board diagnostics would reduce development costs and help manufacturers roll-out new technologies more quickly. This would deliver a more competitive auto sector, but also newer vehicles with lower emissions and better safety technologies in markets across the globe.

The commercial vehicle industry is moving quickly towards achieving technical harmonisation. The technical harmonisation proposals still have to be accepted at a political level. In the meantime, the automotive industry starts discussing the same initiative for passenger cars, i.e. worldwide harmonisation of passenger car emission requirements using the same arguments and claiming the same advantages. This debate is expected to take quite some time, and huge investments for testing will be needed.

Fuel quality

Modern vehicles are fitted with sophisticated engines with components and assemblies designed to operate at fine tolerances. They are managed by computer to optimise performance, and complemented by exhaust treatment technologies that remove pollutants directly from the tailpipe. Together, these technology solutions help reduce emissions and deliver the performance demanded by commercial customers and private motorists.

The industry is concerned that regulators continue to prioritise vehicle technology in the drive to cut emissions. Insufficient impetus has been given to the importance of fuel quality and the need to develop global fuel regulations that complement modern vehicles.

Without quality and standardised fuels, vehicles cannot perform to their potential, generating higher emissions, with the risk of premature component failure through contamination and corrosion.

Auto makers acknowledge European targets to increase the use of renewable fuels in road transport to 10% by 2020. However, they are concerned by the Commission’s Fuel Quality Directive. This sends conflicting messages about fuel quality, by permitting the use of metallic additives in fuels and by allowing member states to market diesel with a FAME content above the 7% recommended by the industry.

At a time when the industry has been working to develop global standards for biofuels through membership of the Worldwide Fuel Charter, this is a retrograde step. It sends out entirely the wrong message and must be reviewed.

Intellectual property rights

The European auto sector has fought hard to establish consistent intellectual property rules in international markets. Counterfeiting is a growing problem and emerging markets, like China, need to do more to ensure the interests of those investing in legitimate development programmes are protected through robust rules and enforcement regimes.

ACEA and counterparts in North America and Japan are working together to share information and encourage the development of consistent anticounterfeiting measures and robust intellectual property laws.

Safety

Like climate change, road safety is an international issue which should be tackled through a collaborative effort from all stakeholders. Manufacturers have a responsibility to bring safety technologies to market, and innovation has delivered huge advances in occupant protection, pedestrian-friendly design and active technologies that help avoid a crash. Road users, planners, governments and enforcement authorities must also accept their role in cutting the unacceptable death toll on roads.

Here too, an integrated approach must be applied. Safety regulations that vary from market to market have the same effect as those applied to emissions and fuel standards. They create barriers that can delay the introduction of new technologies.

Manufacturers are actively involved in the Global Road Safety Partnership (GRSP), which brings together regulators, industry and civil society in the poorest countries, to deliver an integrated approach on a global level.

Voluntary measures have also been taken, such as the introduction of seat belts as standard in all vehicles sold anywhere in the world. All European cars are now fitted with ABS as standard, while more recently, the industry has become an active participant in the “Choose ESC” campaign to increase consumer awareness of the benefits of Electronic Stability Control.

last updated 19/05/2009

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