European Union keeps dragging its feet on two major policy decisions: easing the 2035 combustion engine phaseout and finalizing carbon border adjustments.

Here's the problem—they're trying to balance three things that don't fit together. Climate commitments demand aggressive action. Local manufacturers need breathing room to compete. And Chinese EV makers are flooding the market with cheaper alternatives.

Something's gotta give. But instead of making tough calls, Brussels keeps hosting panel discussions and issuing statements. The irony? All that bureaucratic theater burns resources while European industry loses ground.

The reality is simple: you can't protect domestic carmakers, hit climate targets, and block competitive imports simultaneously. Policy gridlock might feel diplomatic, but it's economic suicide in slow motion.