BRUSSELS – European Union (EU) countries on Thursday gave final approval to an amendment of the , setting a binding intermediate target to cut the bloc’s net by 90 percent by 2040 compared with 1990 levels and reinforcing the EU’s path toward by 2050.
Under the amended law, member states will be allowed from 2036 to count “high-quality international credits” toward meeting the 2040 target, capped at 5 percent of the EU’s 1990 net emissions. This means at least 85 percent of the emissions reductions must be achieved within the bloc, the Council of the EU said in a statement.
The credits must be based on credible greenhouse gas reduction activities in partner countries and be aligned with the , the statement added.
The amended law also delays the launch of the EU’s emissions trading system covering road transport, buildings and other sectors, shifting its start date from 2027 to 2028.
The adoption marks the final step in the legislative process. The amended regulation will enter into force 20 days after its publication in the Official Journal of the EU and will apply directly across all EU member states.
The European Climate Law was first adopted in 2021, setting a legally binding target of climate neutrality by 2050 and a 2030 goal to cut net emissions by at least 55 percent from 1990 levels. The European Commission proposed the amendment to add the 2040 target in July 2025, and the and the Council reached a provisional political agreement on the measure in December 2025.