The proposed carbon-dioxide emissions target put forward by the European Commission has been criticized by Germany’s three largest automakers including BMW, DaimlerChrysler and Volkswagen. The CEO’s of all three companies say the target to reduce average carbon dioxide emissions to 120g/km by 2010 for cars manufactured in Europe are 'unrealistic' and would make the industry unprofitable. This comes days after the vocal outcry from Porsche CEO Wendelin Wiedeking who likened the restrictions to a "war on the German carmakers."

A formal letter has been sent to the European Commission outlining the harshness of the new proposal, calling it a ‘massive industrial policy intervention that will burden the entire European automobile industry’. European bosses of General Motors and Ford have also signed the letter in support.

The carmakers have an unlikely ally in the form of German Chancellor Angela Merkel who stated ‘I think I can go as far as to say that we will prevent a general reduction in emissions.’ The German government has reason for concern because of the potential cost to jobs in the industry.