The European Commission is proposing a reduction of CO2 emissions from new cars sold in the bloc to zero by 2035 in a plan that will effectively ban the sale of cars with gasoline and diesel engines.
The Commission also seeks a 55 percent reduction of CO2 emissions by 2030, lifting an earlier target of a 37.5 percent reduction by the end of the decade.
The proposals are part of a broad climate package unveiled on Wednesday that will accelerate a switch to electric propulsion.
Some European automakers have already announced they will switch to zero-emissions cars but the 2035 target will meet with opposition.
The plan must be approved by EU member states and the European Parliament. It will likely to lead to wrangling with member states, especially those with big domestic automakers such as Germany and France, over how to turn the target into law.
Environmental campaigners welcome the Commission's proposal.
"This is a turning point for the auto industry and good news for drivers," said William Todts, executive director of the Transport & Environment lobby group based in Brussels.
"The new EU rules will democratize electric cars and give a major boost to charging, meaning clean cars will soon be affordable and easy to charge for millions of Europeans," Todts said in a statement.