BERLIN (dpa-AFX) - The CEOs of Volkswagen and Stellantis are calling for a new industrial policy direction in Europe to secure the long-term competitiveness of the region's automotive industry. In a joint op-ed for "Handelsblatt" and two other European newspapers, VW CEO Oliver Blume and Stellantis (Opel's parent company) CEO Antonio Filosa proposed a "Made in Europe" strategy designed to ensure fair competition as well as increased production and investment within the EU.
Blume and Filosa are calling for financial incentives and regulatory relief for electric vehicles manufactured in Europe. The continent's largest automakers are urging the EU to relax climate regulations to benefit domestic production.
The company leaders demand that vehicles for the EU market be more closely tied to European production requirements. Every manufacturer selling in Europe should be required to produce under comparable conditions. Additionally, state subsidies should be specifically targeted to support European value creation.
Binding 'Made in Europe' Criteria for E-Cars
The result would be "Made in Europe" requirements for vehicles registered in the EU. Criteria for electric vehicles should encompass production, powertrain, battery cells, and key electronic components. Vehicles meeting these criteria should receive a label and benefit from government purchase incentives or public contracts.
CO2 Bonus for 'Made in Europe' E-Cars
The executives also suggest that every "Made in Europe" electric car should receive a CO2 bonus. "And if a manufacturer meets the 'Made in Europe' requirements for a large part of its fleet, such a CO2 bonus should even apply to all of its electric vehicles." According to Blume and Filosa, this would incentivize maintaining production within the EU, avoiding billions in penalty payments, and instead channeling urgently needed investments into the internal market.
No Protectionist Barriers
Beyond origin requirements, a "comprehensive industrial policy" is needed, including targeted support for European battery cell production and purchase incentives for European-made electric vehicles.
The two CEOs stress that the proposed strategy should not lead to isolationism: "We cannot put a protectionist fence around every workbench." Instead, the goal is to build or strengthen resilience in selected strategic components.
The executives write that we are witnessing the start of a new era of geopolitical competition. Trade, technology, and industry are increasingly being used to assert national interests. Europe urgently needs to decide "whether it wants to remain just a market for others or also continue to be a producer and industrial power in the future."
The industry generates around eight percent of the EU's gross domestic product and provides jobs for about 13 million people. The sector's significance for prosperity and stability in the EU is correspondingly high.
Greens: Carmakers Have Understood
According to Green Party leader Franziska Brantner, the contribution from European automakers shows they have understood: "Our economy can only be successful and resilient if we consistently think European and rely on Made in Europe." Now, she says, it is up to the federal government to resolutely follow this path and finally launch a genuine European industrial policy. "We cannot afford to keep burying our heads in the sand any longer."/sl/DP/zb
