Vehicle recyclers and manufacturers raise concerns over counterproductive ELV dismantling requirements

The EU is proposing to expand dismantling obligations under the End-of-life Vehicles Regulation (ELVR). Representing vehicle recyclers, manufacturers and automotive suppliers, the European Recycling Industries’ Confederation (EuRIC), the European Automobile Manufacturers’ Association (ACEA) and the European Association of Automotive Suppliers (CLEPA) outline their views on the proposed expansion in a joint paper.

The signatories do not disagree with the merits of dismantling vehicle components for reuse, provided there is a downstream market for their reuse. However, the organisations challenge the added value of a number of component-specific mandatory dismantling obligations for re-use, safety, or material efficiency.

 

Download joint paper

 

in CLEPA, 14-02-2024

 

 

European business calls for deepening the EU Single Market and renewing the dynamic of European integration

In a joint statement with 26 organisation, CLEPA, the European Association of Automotive Suppliers, has emphasised the urgent need for revitalising the European Union’s Single Market to address the current challenges faced by EU citizens and businesses. The statement underscores the critical role of a well-functioning Single Market in restoring Europe’s competitiveness and tackling the cost-of-living crisis.

The statement identifies key issues, such as the diminishing competitiveness of the EU compared to the US and China and highlights the need for a balanced approach between strategic autonomy and promoting seamless trade within the EU. It also calls attention to the neglected enforcement of Single Market rules and the lack of harmonisation in crucial regulatory areas.

Key Points from the Joint Statement:

  • Redressing the Cost-of-Living Crisis: The paper stresses the importance of a well-functioning Single Market to incentivise investment, innovation, and economic growth, ultimately addressing the cost-of-living crisis faced by many European citizens.
  • Improving the Business Environment: CLEPA advocates for addressing obstacles hindering cross-border business activities and emphasises the need for the European Commission to map and urgently tackle inefficient requirements and barriers faced by companies.
  • Deepening the EU Single Market: The joint statement calls for a comprehensive program to remove barriers within a clearly defined timeframe, aiming for a more efficient, simplified, and harmonised regulatory framework across EU Member States.

Download joint statement

 

in CLEPA, 13-02-2024

 

 

CLEPA underscores importance for a technology-open approach in discussion on EU CO2 standards for heavy-duty vehicles

Ahead of further discussion amongst member states in the Coreper on new CO2 emission standards for heavy-duty vehicles (HDVs), CLEPA reinforces its commitment to a technology-open regulation and the deployment of all solutions to reduce CO2 emissions from the freight sector, including renewable fuels.

in CLEPA, 08-02-2024


CLEPA Secretary General, Benjamin Krieger, states: “We are committed to technology-open regulation, which is the most effective and efficient way to regulate CO2 emissions from transport. Automotive suppliers encourage steps to align the regulation more closely with these principles, a stance we have consistently upheld over past years, not only for cars vans but also extending to trucks.”

Mr. Krieger goes on to say: “The ability to leverage all technologies, from electrification solutions, including e-trailers, renewable fuels, and hydrogen is crucial for meeting ambitious climate targets and fostering innovation within the automotive industry. We welcome a timely agreement that includes these considerations and progress on already agreed steps for the further development of the regulation for the type-approval of vehicles running exclusively on renewable fuels.”

 


 

About CLEPA

  • CLEPA, the European Association of Automotive Suppliers based in Brussels, represents over 3,000 companies, from multi-nationals to SMEs, supplying state-of-the-art components and innovative technology for safe, smart and sustainable mobility, investing over €30 billion yearly in research and development. Automotive suppliers in Europe directly employ 1.7 million people in the EU.

 

 

CLEPA | Net-Zero Industry Act is first step, but EU industrial strategy will need to foster innovation across technologies

Yesterday during trialogues, Member States within the Council and the European Parliament reached an agreement on the Net-Zero Industry Act (NZIA). While expediting permitting procedures for critical net-zero technologies is crucial for advancing the green transformation, it is imperative that the NZIA be complemented by a broader revamp of the EU’s industrial policy and the establishment of a dedicated funding instrument.

in CLEPA, 07-02-2024


European automotive suppliers possess cutting-edge technological knowledge that is essential for the green and digital transition. However, to maintain competitiveness in an evolving landscape, European policies must ensure that EU industry is the true driving force of the transformation.

The NZIA aims to boost Europe’s manufacturing capacity for net-zero technologies, streamlining approval processes and proposes to ease market access for strategic technology products, enhance the skills of the European workforce in these sectors and create a platform to coordinate EU action in this area.

CLEPA welcomes the significant efforts of Members States and the European Parliament, particularly with regards to increasing the technology openness of the proposed regulation, including the language on renewable and energy storage technologies. The addition of battery/energy storage systems and fuel cell technologies, along with their critical components, would be a necessary first step for the automotive supply industry.

However, the NZIA approach of focusing on a predefined list of technologies has important shortcomings. We need an industrial policy framework that stimulates innovation across automotive technologies. This includes a focus on stimulating innovation not only in the battery itself but also in its associated components. The strength of Europe’s automotive sector is the interplay between specialised suppliers and vehicle manufacturers. Vehicles are complex systems of thousands of components that together will deliver safe, smart and sustainable mobility. Zero emission vehicles are therefore more than a battery or fuel cell on wheels.

Europe’s automotive industry has the technological capabilities to deliver and optimise net zero-emission vehicles, produced in smart factories that help overcome disadvantages in energy and production costs. A holistic industrial strategy should ensure that Europe will be the continent where these innovations continue to advance.

 

 

Outlook 2024 | Editorial by CLEPA President Matthias Zink

Ladies and gentlemen,

It is my pleasure to address you in my first editorial as the new President of CLEPA. I hope you all had a good start into the new year and that this finds you in good spirits. With the manifold geo-political and economic challenges around us, it is more important than ever for our sector to prove its resilience, innovative strength, and future-readiness. And there is reason enough to be confident.

The automotive supply industry is the top private investor in research and development in Europe with €30 billion invested annually. It accounts for 1.7 million direct jobs and 39,000 patents each year.

Moreover, 75% of the value of a car comes from suppliers. These figures show how powerful our sector is and that automotive suppliers are critical to enabling the green and digital transition in Europe. We as CLEPA represent over 3,000 companies, from multi-nationals to SMEs, supplying state-of-the-art components and innovative technology for safe, smart, and sustainable mobility across Europe.

I am engineer by education and at heart, and I believe in the innovative strength and technological expertise of the European automotive supply industry. That is also why I joined the association back in 2018 as a member. After being voted Vice President in 2020, I’m now honoured and proud to serve as President of CLEPA for the next two years. Also, I wish to thank Thorsten Muschal for his four, successful years as President, and I look forward to building on the work done.

“I will be a strong voice for technology diversity“

We are at a crucial point of the mobility transformation in Europe. There are a lot of challenges, but more importantly, many opportunities lie ahead for the automotive supply industry. I am fully committed to strengthening the voice of the sector in Brussels and throughout Europe, with the aim of fostering dialogue and collaboration for a regulatory framework that supports a competitive and sustainable industrial base. Keeping Europe competitive is a task for policymakers and industry alike. We as CLEPA stand ready to bring leading technological mobility solutions to market and to actively contribute to shaping policies that foster climate action and support a thriving EU industry. But we are the first to acknowledge that mobility is diverse. Since technological innovation and the future of the global supply chains is unpredictable, I will be a strong voice for technology diversity and a technology open regulatory framework that ensures options to meet ambitious targets.

Furthermore, mobility needs to be affordable. Electrification is the key overlying trend in today’s automotive industry, but in Europe, the EV market has been dominated by premium-segment vehicles that are highly expensive. The EU automotive industry will need to pick up its pace to avoid being cut out of this crucial business opportunity.

“Overall regulatory framework must remain ambitious yet flexible to empower continuous innovation”

CLEPA is also firmly committed to the implementation of Fit for 55. The ambitious goals can only be met provided the shift to electric mobility is assisted by suitable infrastructure, affordable renewable energy, a strong European battery supply chain, and a flexible EU regulatory framework, which allows all technologies to contribute to emission reduction.

One of the most important regulations still to be proposed is on access to in-vehicle data, complementing the Data Act. Automotive suppliers who build the crucial components and systems of a vehicle will need such data for engineering, repair and maintenance of vehicles and new mobility services for the benefit of consumers. That is why fair access to such data will be needed to foster large-scale investments in innovative products and services.

Ahead of us are the European elections and a new European Parliament and Commission will define the political priorities for the next five years. The CLEPA team and myself stand ready to contribute with expertise and proposals to ensure that the implementation of the ambitious targets in the Green Deal is effective and efficient, that its components achieve their objectives and that they are adequately developed further.

Across our broad agenda, from emissions to digitalisation and sustainability, to trade and competitiveness as well as many other topics, the overall regulatory framework must remain ambitious yet flexible to empower continuous innovation. This will help us reach our goals faster and more efficiently while also catering to consumer choice. In my profession, I have grown adhering to an uncompromising customer focus. The citizens of Europe are our customers, ladies and gentlemen. Whatever we do, policymakers and industry alike, our unwavering focus must ultimately benefit of the people of Europe.

I’m looking forward to working with you and hope to see you soon.

Yours,

Matthias Zink

 

in CLEPA, 25-01-2024

 

 

European suppliers’ group issues warning on profitabilit

More than half of all suppliers are below a 5% threshold for a sustainable business, CLEPA says.

in Automotive News Europe, by Peter Sigal, 20-01-2024


More than half of automotive suppliers are below the threshold of 5 percent profitability needed for a sustainable business, the industry’s European trade group said.

A number of factors have combined to put many suppliers in peril, said Benjamin Krieger, director general of CLEPA, including the need to invest heavily in uncertain future technologies, the impact of the pandemic, inflation and energy cost increases, the ability to pass price increases to automakers, and new rules and regulations.

“That’s the limit beyond which you can say, that’s a sustainably running business that can make the investments needed for sustainable, safer and smart mobility, and for innovation overall,” Krieger said Wednesday in Brussels at a news conference to introduce the group’s new president, Matthias Zink of Schaeffler, and discuss legislative priorities for the coming year.

Krieger and Zink called on the incoming EU Parliament to make sure regulations remain constant and “efficient,” and to take a holistic approach to the Green Deal greenhouse gas targets.

“To become a success it requires contributions from more than one industry,” Krieger said of the Green Deal, which calls for a CO2-neutral Europe by 2050.

The auto industry has won concessions from EU regulators in the past year, including a commitment to allow synthetic fuels in some form in 2035 rules requiring that all new cars have zero CO2 emissions, and a proposal for Euro 7 emissions rules that is largely unchanged from the status quo.

Incoming EU Parliament

A new European Parliament will be chosen this spring, so the details of some of those regulations could be pushed back a bit, Krieger said. “The closer we go toward the elections the less likely it is we see new proposals from the European Commission,” he said, particularly on synthetic fuels and on vehicle data protection.

Krieger and Zink said that with the largest regulatory questions largely settled, especially on the transition to zero emissions vehicles, the focus for CLEPA in the next five years will how to enact them in a way that minimizes job losses and threats to its 120 members.

“If you change regulations every two years you can’t hold this critical financial phase for long,” said Zink, the CEO of automotive technologies at Schaeffler. “That’s why we are calling for stability.”

A study commissioned by CLEPA in 2020 found that by 2040, up to 500,000 automotive supply jobs out of 1.7 million could be lost, depending on whether Europe can develop a robust EV supply chain. A more optimistic scenario puts job losses at 276,000, Krieger said, but a commitment to “technology openness” could further reduce that number, he and Zink said.

“There is still a chance to keep the employment we have, but in the end it goes together with competitiveness,” Zink said. “If Europe goes with the strengths it has in innovation and added value, then it’s possible.”

Real competition’ from China

The European Commission took a step to address issues of competition last year when it opened a probe of the Chinese government’s support for domestic EV makers, with the potential to impose punitive tariffs. European automakers and regulators have warned that low-cost Chinese vehicles could “flood” the European market.

Zink said that, in general, protectionism is not a solution if it results in tariffs.

“For sure, China has cost advantages, and that’s something we need to work on here in Europe, whether it’s in labor or energy,” he said. “We have to find our own solutions.”

He said Chinese cars are competitive not only on price, but also on technology, which he said was a “loud call for innovation in Europe.”

“We have real competition there, and we better prepare for it,” Zink said.

 

 

“We have real competition there, and we better prepare for it,” CLEPA president Matthias Zink said about Chinese automakers.

 

 

 

 

CLEPA Joint Statement | Europe’s Consumers, Independent Automotive Service and Mobility Providers rally for urgent Commission action on vehicle data legislation

Europe’s Consumers, Independent Automotive Service and Mobility Providers rally for urgent Commission action on vehicle data legislation

in CLEPA, 19-01-2024


  • Europe’s independent service providers and consumers reiterate the significant potential for safer, smarter and more affordable mobility that is being sacrificed due to the lack of regulated access to vehicle data.
  • Vehicle manufacturers have quasi-monopoly control over data generated by vehicles owned by European consumers and businesses. This heavily limits the choice of innovative services that independent service providers could provide – if they had equal access to vehicle data.
  • The group calls on President von der Leyen to urgently deliver the legislative proposal on access to vehicle data that has been eight years in the making.

A group of 10 representatives of independent automotive service providers have called on President von der Leyen and the College of Commissioners to urgently deliver sector-specific legislation on access to vehicle data. Together they represent 80% of the European automotive economy and include the continent’s automotive parts suppliers and distributors, workshops and their technology suppliers, mobility services companies, the insurance industry and consumers.

The majority of modern vehicles are connected and offer immense potential for safer, smarter and more affordable mobility for European consumers and businesses.

However, manufacturers’ quasi-monopoly control of vehicle data is impeding the development of services that independent service providers could offer. This limits service innovation and competition, restricting consumer and business choice, driving up prices and erodes Europe’s competitive position globally.

The group stresses the European Commission’s long-promised plan for a sector-specific legislation on access to in-vehicle data, functions, and resources is more necessary than ever. The Data Act neither addresses the quasi-monopolistic market structure nor the technical requirements in the automotive industry to make equitable data access a reality.

Action is urgent due to the regulatory cliff-edge in July when new cybersecurity laws kick in, potentially leading to the progressive shutdown of the only independent means of remote access to vehicle data (via the on-board diagnostic port).

The EU must urgently put in place equal access to vehicle-generated data for all market actors by delivering sector-specific legislation that protects consumer choice and encourages real competition and investment in digital transformation and data-driven businesses. Each day of delay stifles European innovation, job creation and the safer, smarter, more sustainable and affordable mobility that Europe’s citizens and businesses deserve.

***

“FIA members continuously seek to develop consumer services in mobility and beyond. But our efforts are hampered through the low quality, scarce and costly data made available by vehicle manufacturers. Fair access to vehicle data is essential in unlocking the full potential of innovative services, beneficial for consumers and all players in the aftermarket. A level playing field is needed to favour innovation for all players and not only a few.”

Karsten Schulze, ADAC Technical Services President.

 

“Ensuring full and real-time data access is essential for fleet companies to be able to offer smart, sustainable, and affordable mobility to their clients. There is no further time to lose as the automotive industry is moving at very high pace and the independent service providers risk losing their competitive position. Thus, we ask President von der Leyen to urgently deliver the legislative proposal on access to in-vehicle data.”

Tim Albertsen, Group Chief Executive Office of Ayvens (formerly ALD Automotive I LeasePlan).

 

“There is currently no level playing field in accessing vehicle data which is stifling competition and innovation. The European Commission must stop dragging its feet and urgently put forward EU regulation. This will enable insurers to provide better products and services to support the climate transition and improve road safety. It will also help them understand and manage the risks related to new and future forms of mobility, such as autonomous driving. Opening data access will prevent a few big companies controlling data and instead create a competitive market that delivers for Europeans.

Yann Arnaud, Director of Responses to Customer Needs & Innovation at MACIF, the French insurer, speaking on behalf of the European insurance sector.

 

“Leveraging anonymized vehicle intelligence and linked tyre data provides a tremendous opportunity for building creative solutions that will shape the future of mobility.”

Raghunath Banerjee, Vice President of Data Solutions at Bridgestone Mobility Solutions.

 

“Investments in services based on in-vehicle generated data require a stable and predictable business environment. A sector specific regulation is needed to create such environment.”

Benjamin Krieger, Secretary General of CLEPA.

 


About CLEPA

  • CLEPA, the European Association of Automotive Suppliers based in Brussels, represents over 3,000 companies, from multi-nationals to SMEs, supplying state-of-the-art components and innovative technology for safe, smart and sustainable mobility, investing over €30 billion yearly in research and development. Automotive suppliers in Europe directly employ 1.7 million people in the EU.

 

 

CLEPA Press Release | Substantial additional investments will be needed to reach ambitious CO2 standards for trucks

The European Commission, the Council of the European Union and the European Parliament have reached an agreement on the CO2 emission standards for heavy-duty vehicles today. While the political agreement positively includes electrified trailers and hydrogen engines, it falls short of embracing carbon neutral fuels.

in CLEPA, 18-01-2024


Benjamin Krieger, Secretary General of CLEPA, the European association of automotive suppliers, says, “We see positive movement with the inclusion of hydrogen fuelled engines and eTrailers, however, the role of renewable fuels as a complement to e-mobility still needs to be clearly defined.”

The review and assessment of the regulation will be essential to ensure the feasibility of the interim and longer-term targets which are the most ambitious targets to date and will be extremely challenging to achieve. A CO2 reduction of 45% by 2030 will require more than 400,000 zero-emission trucks on the roads – around 100,000 new zero-emissions trucks registered annually. Currently, less than 1% of newly registered trucks are electric, and many of the enabling conditions are lacking*.

Mr. Krieger goes on to say, “Progress towards electrification of the fleet and deployment of enabling conditions should be thoroughly reviewed in 2027, and if necessary, we should remain open to considering all technology options to reach compliance.”

The agreement will still need to be formally adopted in the coming weeks.

 

*Source: Statista, ACEA, European Commission, FuelsEurope

 

 

CLEPA | EU industry coalition calls for conclusion of negotiations on EU-Mercosur free trade agreement

In a joint statement, CLEPA and 22 stakeholders are calling the EU and Mercosur leaders to expedite the finalisation of trade negotiations on outstanding issues, emphasising the critical importance of swift action. The establishment of the EU-Mercosur agreement is paramount, offering a significant opportunity to enhance economic integration, collaborate on climate change mitigation, diversify value chains, and fortify the competitiveness of export-oriented sectors, thereby supporting millions of jobs and contributing to the prosperity of European citizens.

in CLEPA, 15-01-2024


This agreement not only fosters strategic economic autonomy for the EU amidst growing security concerns but also positions Europe as a key player in global markets. By partnering with one of the world’s largest economies, the agreement aims to dismantle trade barriers, providing European companies access to Mercosur’s market with over 270 million consumers.

You can download the full statement below.

 

Download statement

 

CLEPA PRESS RELEASE | Matthias Zink to serve as new CLEPA President

CLEPA, the European Association of Automotive Suppliers, has elected Matthias Zink as its new President for a two-year term starting in January 2024.

in CLEPA, 09-01-2024


Mr Zink is CEO Automotive Technologies at Schaeffler and will succeed Thorsten Muschal who has held the position since 2020.

“CLEPA represents over 3,000 companies, from multi-nationals to SMEs, supplying state-of-the-art components and innovative technology for safe, smart, and sustainable mobility across Europe. As the largest private investor in R&D, with 30 billion EUR invested annually, the automotive supply sector is critical to enabling the green and digital transition in Europe. Keeping Europe competitive is a task for policymakers and industry alike”, said Mr Zink. “I wish to thank Thorsten Muschal for his four, successful years as CLEPA President, and I look forward to building on the work done and help strengthen the voice of our industry.”

Reflecting on his term, Mr Muschal notes, “I am proud of the achievements we have made together at CLEPA, especially considering the unprecedented challenges we have faced over the past three years. The transition is only beginning, and it is crucial that we continue to work together towards shared objectives.”

While vehicle production has gone up post-Covid, suppliers have managed to reduce CO2 emissions by increasing the use of renewable energy. However, this positive trajectory can only be maintained with continued significant investments to meet the goals of the green transition whilst remaining globally competitive.

“Affordable renewable energy, raw materials shortages, insufficient battery productions capacity in the EU, along with large infrastructure and grid needs demand a technology-diverse approach. The regulatory framework must remain ambitious yet flexible to empower continuous innovation and to keep Europe competitive”, said Zink. “At CLEPA, we stand ready to bring technological mobility solutions to market and to actively contribute to shaping policies that foster climate action and support a thriving EU industry.”

Watch Matthias Zink’s full video statement below.

 


 

About Matthias Zink

  • Matthias Zink is based at the headquarters of Schaeffler’s Automotive Technologies division in Bühl, Germany, where he became the CEO of Schaeffler’s Automotive Technologies division in 2017. Besides his position as CEO of Schaeffler’s Automotive Technologies he assumed responsibility for the Engine Systems and Chassis Systems business divisions as well as Global Key Account Management Automotive in 2019.

About CLEPA

  • CLEPA, the European Association of Automotive Suppliers based in Brussels, represents over 3,000 companies, from multi-nationals to SMEs, supplying state-of-the-art components and innovative technology for safe, smart and sustainable mobility, investing over €30 billion yearly in research and development. Automotive suppliers in Europe directly employ 1.7 million people in the EU.