European car industry's top five concerns going into crunch talks with von der Leyen

"In mortal danger." That was nan bleak appraisal a fewer months agone of Europe's automotive manufacture by EU manufacture main Stéphane Séjourné.

The continent's car assemblage has taken a beating and is dealing pinch faltering sales, precocious power prices, increasing world title and an uncertain regulatory and waste and acquisition situation person plunged nan assemblage into a spiralling crisis.

"There is simply a consequence that nan early representation of nan world car manufacture will beryllium drawn without Europe," Séjourné said backmost successful April.

To tackle nan sector's astir pressing challenges, EU Commission President Ursula von der Leyen will big elder car executives successful Brussels connected Friday to travel up pinch a scheme of attack.

But what are nan apical 5 demands of nan car manufacture going into those talks pinch von der Leyen? Sigrid de Vries, head wide of nan European Automobile Manufacturers' Association (ACEA), explains nan industry's position.

Recalibrate C02 decarbonisation path

The marketplace stock of artillery electrical rider cars successful EU-27 was astatine 15.6% and astatine 9% for vans. Widespread mass-market take has not happened yet. And it will not hap if we don’t velocity up nan infrastructure and bring down nan full costs of ownership.

By May 2025, manufacturers had launched astir 290 caller models and invested hundreds of billions successful transformation. We person delivered. And we proceed to do so. There is nary turning back: European factories are being built and reformed and nan workforce reskilled.

But governments and regulators person not invested in, nor demanded, capable levels of infrastructure and grid upgrades and incentives remained inconsistent. The consequence: nan regulatory targets are nary longer achievable.

The existent CO2 simplification way successful roadworthy carrier must beryllium recalibrated to guarantee it delivers connected nan EU ambiance goals whilst besides safeguarding Europe’s business competitiveness, societal cohesion, and strategical resilience of its proviso chains.

Strengthen enabling conditions

For zero-emission vehicles to go an evident prime for consumers and businesses, purchasing aliases utilizing these vehicles request to beryllium much charismatic than those pinch soul combustion engines.

That requires accordant acquisition incentives, fairer taxation, little charging costs and easier entree to cities. At nan aforesaid time, Europe must accelerate charging and refuelling infrastructure, particularly for heavy-duty vehicles, while modernising grids and reforming power markets to bring down energy prices.

Safeguard exertion neutrality

While artillery electrical vehicles will predominate nan transition, they cannot meet each carrier need. Plug-in hybrids, hydrogen substance cells, renewable-fuel soul combustion engines and different solutions stay vital.

As of now, hybrid-electric vehicles stay nan apical consumer, accounting for almost 35% of nan market, and plug-in hybrids person posted their 5th consecutive period of beardown growth, pinch income surging by complete 56% (source: ACEA).

Keeping aggregate technologies connected nan array would broaden user choice, velocity up nan decarbonisation of nan existing fleet, and prolong Europe’s business and export strengths.

Boost competitiveness and resilience

European policymakers person rightly focused connected building a homegrown artillery industry, but nan assemblage warns this will return time.

In nan meantime, Europe must fortify and diversify world proviso chains for batteries, semiconductors, and captious earthy materials.

Strategic partnerships pinch reliable allies, streamlined EU regulation, and targeted support for invention and skilled jobs will beryllium basal to support Europe competitory successful nan look of fierce world pressure.

Adopt tailored policies for different conveyance groups

It is clear we request 3 abstracted ‘lanes’, and tailored policies successful each vehicle: rider cars, vans, and heavy-duty vehicles. The marketplace business for vans, pinch an electrical stock astatine 9%, is captious and needs dedicated attention.

Trucks and buses correspond conscionable 3.5% of artillery electrical registrations today, arsenic nan supporting model lags behind.

Megawatt charging, grid capacity and acquisition incentives stay underdeveloped, holding backmost advancement successful 1 of nan hardest-to-abate sectors.

Industry leaders reason that nan EU cannot spend to hold until 2027 to reappraisal CO2 standards for heavy-duty vehicles. Instead, urgent monitoring and action are needed to put roadworthy freight connected way for ambiance neutrality.

Finally, an business and marketplace position for technologies that thief accelerate nan modulation should beryllium reintroduced, and typical nickname fixed to mini and businesslike electrical car manufacturing.