According to an agreement reached on Thursday evening, only climate-neutral new cars should be registered in the European Union from 2035.
The agreement reached between EU member states and the European Parliament is a "historic decision", said French MP Pascal Canfin, who chairs the European Parliament's environment committee.
The Czech EU Council Presidency also announced the agreement according to which new cars with petrol and diesel engines will no longer be registered in the EU from 2035.
In addition, the compromise includes a request to the EU Commission to check whether the use of so-called e-fuels for cars could be an option in the future.
The FDP, in particular, had pushed for this in the federal government.
There had been a lengthy dispute in the federal government over the question of whether the sale of new combustion engines should be banned from 2035.
The Liberals and the Greens, in particular, held different positions.
The Federal Environment Ministry, for example, had spoken out in favor of a clear end to combustion engines.
The core of the debate was the question of how e-fuels could be used in road traffic.
These are synthetically produced fuels, the production of which binds greenhouse gases.
If the fuel is used in an engine, it runs more or less climate-friendly because the CO2 emitted comes from the atmosphere.
However, critics note, among other things, that synthetic fuels are needed much more urgently in other sectors such as shipping or aviation than in road traffic.
It should be possible to review the decision again in 2026.