The decline in emissions is the second biggest annual fall ever recorded and brings the average CO2 emissions of cars registered in the EU to 140g/km.

Although the data shows that the 3.7% decrease in average emissions in 2010 was lower than the 5.1% seen the year before, the EEA adds that the figures for 2009 were probably influenced by the economic crisis and the scrappage schemes in some member states.

The EEA's data also shows that the average engine capacity of the cars sold in 2010 slightly increased compared to 2009. Also the average weight of cars rose considerably after the sharp decrease seen in 2009 and is now back at the level seen in the years prior to the economic crisis. However, average CO2g/km were cut thanks to improved vehicle technology and fuel efficiency.

Alternative fuel vehicles were also monitored. Last year about 13,000 flex-fuel vehicles and 700 electric vehicles were registered in the EU.

Climate Action Commissioner Connie Hedegaard said: 'These data show again that setting targets delivers results and stimulates the car industry to put greener cars on the market. These innovations also ensure that Europe's car industry remains competitive in the changing global market.'