CEO of Volkswagen Passenger Cars Thomas Schaefer presents the brand's new cars at the IAA auto show in Munich on Monday.

Major automakers showcased their latest models at the Munich car show on Monday, unveiling new EVs and lower-cost models as Europe’s auto sector fights crises ranging from tariff hikes to rising costs and rivalry with Chinese firms on their home turf.

With many companies concerned over Europe’s tough-to-meet carbon emissions targets for 2035, several said they would widen their production focus rather than restrict themselves to electric or other alternative-fuel vehicles.

European automakers at the IAA Mobility show in Munich, running until Friday, also face sinking sales in China, the biggest single market for Volkswagen VWAGY , BMW BMWYY and Mercedes-Benz MBGY

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