# Toyota and Ford advocate for EU automotive reform

> Live situation record from CLSTR: https://clstr.news/situations/toyota-advocacy-for-eu-automotive-regulation-reform
> Updated: 2026-10-21T05:00:31.000Z. Sources: 25. Developments: 3.

Toyota Motor Europe continues to advocate for a revised regulatory framework in the European Union to facilitate a more pragmatic green transition. Under a proposed ‘Made with Europe’ initiative, the company is urging the EU to expand its definition of the European automotive ecosystem to include reliable commercial partners such as Japan, the United Kingdom, and Turkey, rather than strictly requiring assembly within the EU.

Toyota’s leadership, including President and CEO Yoshihiro Nakata, argues that strict assembly-only rules could negatively impact long-term investors by overlooking the significant engineering, research, and development contributions made within the region. To address this, Toyota suggests that European content requirements should be calculated based on the total value of the vehicle at the factory gate. The company proposes a gradual increase to a 70% European content threshold over three years, with significant requirements not taking effect until 2030.

This position has gained alignment with other major manufacturers. Ford Europe President Jim Baumbick has joined the call to broaden the definition of European industrial origin as the EU develops the Industrial Acceleration Act. Baumbick argues that the ‘Made in Europe’ label should be based on where value is generated—including engineering, research, and component manufacturing—rather than solely on final assembly, noting that current definitions ignore established industrial collaborations with neighbors like Turkey and the United Kingdom.

Regarding environmental policy, Toyota continues to call for technologically neutral CO2 emission targets and greater flexibility, expressing concern that regulatory timelines may outpace consumer demand and infrastructure development.

## Claims

- The EU is developing the Industrial Acceleration Act to boost production and reduce dependencies. (corroborated by 2 sources)
- Jim Baumbick proposes that 'Made in Europe' should be measured by where value is generated, not just final assembly. (single source)
- Toyota suggests changing the regulatory focus from 'Made in Europe' to 'Made with Europe'. (single source)
- Toyota employs approximately 25,000 people in Europe. (single source)
- Draft industrial legislation requires manufacturers to meet local content requirements of up to 70%. (single source)
- Toyota requests that local content thresholds be introduced gradually over a three-year period. (single source)
- Ford argues that limiting European vehicle status to the EU-27 ignores collaboration with Turkey and the UK. (single source)
- Toyota is seeking a multi-year compliance window for emissions from 2028 to 2032. (single source)

## Timeline

### 2026-10-21: Ford and Toyota urge EU to broaden 'Made in Europe' criteria

Ford and Toyota are urging the EU to expand 'Made in Europe' definitions to include value-added activities like R&D and engineering performed in partner nations like the UK and Turkey.

5 sources. https://clstr.news/cluster/ford-and-toyota-urge-eu-to-broaden-made-in-europe-criteria

### 2026-10-18: Toyota urges EU to adopt ‘Made with Europe’ regulatory framework

Toyota Motor Europe is calling for more flexible EU CO2 regulations and a ‘Made with Europe’ framework that includes trusted partners like the UK, Türkiye, and Japan to protect industrial competitiveness.

11 sources. https://clstr.news/cluster/toyota-calls-for-made-with-europe-regulatory-approach

### 2026-10-16: Toyota urges EU to adopt flexible automotive regulations

Toyota is urging the EU to adopt more flexible automotive rules through its ‘Made with Europe’ proposal, advocating for technological diversity and a realistic transition timeline for emissions compliance.

9 sources. https://clstr.news/cluster/toyota-urges-eu-to-adopt-flexible-automotive-regulations

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Cite as: Toyota and Ford advocate for EU automotive reform. CLSTR, https://clstr.news/situations/toyota-advocacy-for-eu-automotive-regulation-reform
