Luca de meo, managing director of the group Renault and President of That, the European Automobile Manufacturers Association, has sounded a clear alarm on the European automotive sector and on its endurance in competition with the US market.
The new president of Acea has written atXNUMX-XNUMX business days for ask for help and a new one regulatory that supports the European automotive industry in competing with United States e China sustained, the first by the powerful incentives on the electric car; the second by the presence of the State. An appeal that urges the EU to get in motion to safeguard and promote free trade endangered by the firepower of the two opposing powers.
Need one new industrial policy that you avoid the deindustrialization of a sector that is worth about8% of the GDP European.
The letter to the European Union and the American and Chinese plans
DeMeo, in the letter sent to the EU underlines that “theautomotive industry it is an economic powerhouse for Europe and is leading the transition to one zero-emission mobility. However, recent trends show that it is gradually losing ground compared to its main global competitors. The next challenges of the sector are of fundamental importance”.
It is “urgent”, explains the Acea President, “for the Europe of adopt an industrial plan for the car ambitious and structured to counter those of other global regions that incentivize the path towards zero emissions. The shift towards the electric car puts Europe at a disadvantage in controlling the value chain especially against Chinese competitors”.
In particular, the builders are concerned about the new Euro 7 standard (planned for 2025). There is the risk, observes De Meo, that the application of the new directive will lead to an increase of at least 2.000 euros of the price of the cars and "it would force the houses to invest billions for minimum environmental benefits", underlined De Meo. Continuing on this road, says the Acea President, a manufacturer like Renault would be forced to close 4 factories.
A risk of collapse for the whole European sector with risk 300 thousand jobs.
The criticism leveled at Europe is that it limited itself to regulating the market while the United States and China with their strategic plans "sthey proclaim their industry“. American policies with the Inflation Reduction Act and China's strategic plan to become self-sufficient in high technology (Made in China 2025) risk severely penalizing European cars. The new plan launched by Biden, in August 2022, for example, is bringing strong stimuli to the green transition of the American automotive industry.
The sector “must not be alone regulated“, says De Meo, “but also supported, as Washington and Beijing are doing”. Furthermore, the EU's decision to adopt only the electric as the only and exclusive decarbonization technology. The stop to thermal cars in 2035 worries a lot. In 2030, only 5% of the raw materials for building batteries will come from Europe. And the hypothesis of possible state aid in the future is growing.
2023% increase in sales in 5
Meanwhile, car manufacturers are aiming for 2023 to relaunch a market that has been severely tested in previous years by the closures due to the Covid19 pandemic. New models and launches are planned throughout the year to stimulate sales.
De Meo estimates for 2023 sales to increase with a growth of 5% compared to previous years equal to 9,8 million cars. Data in line with those estimated for Italy by Unrae in December 2022 which expect 1,4 million units to be sold, up 7,7%.
