Category: Automotive Industry

News about Automotive Industry

CLEPA | Restarting the automotive industry is simply impossible without close coordination and support

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Within the space of only a couple of days, the automotive industry in Europe has come to an almost complete standstill and millions of people are at home to either work from there or, more often, bide their time until life returns to normal.

in CLEPA, by Sigrid de Vries, 03-04-2020

First priority for the industry is the health and safety of employees and society at large. The many initiatives to manufacture medical equipment and protective gear pay testament to that. In parallel, the sector is doing all it can to minimise the damage to an otherwise thriving and competitive industry. Driven by a strong wish of all players in the value chain and building also on the lessons from the severe crisis in 2008/9, the automotive industry is determined to overcome the situation in a strong fashion.

The situation is, however, unprecedented and the way ahead looks bumpy. A survey amongst CLEPA members between 20 and 24 March provides a clear view of the potential impact, even without having clarity on the duration of the crisis today. A majority of respondents expect a loss of sales by more than 40% during the next 3 months as well as a 25% reduction of revenues over the entire year. They expect an even larger impact on profitability. The biggest impact is expected in Europe, with a total of €58 billion of revenues considered at risk.

The most immediate need is to ensure liquidity. Automotive parts and components suppliers are faced with the same problem of many other sectors: the almost complete lockdown of operations leads to a collapse in revenue, while running costs still have to be paid. Capital is being used up and companies risk going bankrupt if they run out of liquidity.

The many government support measures announced, from relaxation of state aid rules, to tax breaks, investment guarantees, loans and other measures, are therefore all welcome and needed. Measures such as the reduction of working time with wage compensation, temporary unemployment schemes and other flexibilities in labour rules are also crucial.

Industry estimates that the demand for cash is likely to continue for some time to come, especially if consumer demand will not return to pre-crisis levels for a while. Therefore, once the pandemic ceases, the economy will need continued support in order to avoid a drawn-out depression like that of the 30s. Demand-side measures must be part of the picture too.

An equally manifest concern is the colossal job of getting the entire automotive manufacturing chain up and running again.

The orderly restarting of production across the entire automotive industry value chain is simply impossible without close coordination, both within industry and between industry and public authorities. A successful exit from the crisis will require timely sharing of critical and appropriate information, making sure that all players in the value chain can plan and act as effectively as possible. The automotive eco-system resembles an intricate clockwork of interdependent bits and pieces. Solidarity, partnership, and the need for a post-crisis mindset are words often heard within the sector these days.

Policy makers, too, can contribute by playing in concert, orchestrating measures in a timely and coordinated manner as much as possible.

Automotive suppliers call on the EU and member state governments to coordinate the lifting of restrictions. They urge to define common criteria on when the crisis measures can be reduced, to broker a timeline amongst member states for a smooth exit from the crisis, to coordinate on the conditions, measures and timeline for workplace safety, and to watch over the integrity of the Single Market, by letting goods and people move again as soon as possible, in a safe manner.

Europe should also recognise vehicle maintenance and delivery of spare parts as essential services and exempt these from restrictions. Services supporting passenger transport and logistics were already explicitly included in lists of essential services.

The automotive value chain is deep and long, with a wide ripple effect into other sectors of the economy. The sector plays an important role in the economy as a whole, and is in fact ‘system critical’, to use the policy jargon of today. This should be recognised and kept in mind when elaborating crisis-exit measures.

Interestingly, in the CLEPA Pulse Check survey, over 70% of respondents voiced confidence about the possibility of a recovery within one year. However, 94% are expecting lasting changes to their way of working, with 38% expecting an increase in regional sourcing and 37% expecting an increase in local production. These are major tell-tale signs of the fundamental impact the crisis may have.

Just a few weeks ago, in what now seems a different era, the Commission stressed the importance of critical value chains and technical sovereignty in the New Industrial Strategy for Europe. This has only gained dimension and importance. The crisis is sending shockwaves through society and the economy that we cannot yet fully comprehend today, but on which deeper reflection will soon have to start.

 

Sigrid de Vries

CLEPA Secretary General 

 

 

Automotive suppliers brace for impact of Covid-19 crisis, call for coordinated support measures

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The European automotive supply industry is bracing itself for the impact of the Corona-19 crisis, with activities coming to a standstill due to supply shortages and falling demand and, most importantly, to protect the health of employees and the community at large. The industry stresses the need for strongly-coordinated support measures taken across Europe.

in CLEPA, 25-03-2020

CLEPA, with the support of McKinsey, has polled its members over the past few days on the impact of the Covid-19 crisis. While it is difficult to make firm predictions at this stage, 60% of respondents expect to lose 20% or more of revenue. Over half of respondents count on a full recovery time of at least 6-12 months. 95% of respondents call for fiscal support by governments, 80% support labour market measures including temporary work time reduction and 76% call for cash infusion and measures to increase access to liquidity.

“The automotive supply industry needs strongly-coordinated support in Europe a number of areas, including financial and labour related measures”, said Sigrid de Vries, CLEPA Secretary General. “Relaxing state aid rules and providing tax breaks, investment guarantees, loans and other means are essential to help ensure the survival of many healthy companies which are hit by the crisis. Transparency, coordination and the availability of easily accessible information across the EU are a clear need as well.”

“The period beyond the immediate health crisis must already be in focus too, to help ensure that the economic impact can be mitigated as much as possible. Early planning, coordination and synchronisation across borders and supply chains will again be crucial. Steps must also be taken to strengthen the global competitiveness of the automotive industry, keeping in view the twin ambition of a carbon-neutral and digital society”, she added.

Automotive suppliers large and small are taking numerous initiatives to help the manufacturing of essential medical equipment and protective gear, as well as to provide support in other ways such as sharing health & safety practices or supporting local community initiatives. “Many of our members contribute to containing the virus and to saving lives by producing ventilators, providing safety masks and through other means”, said De Vries.

Covid-19 will undoubtedly have a major impact on the economy, including the automotive industry. Automotive suppliers have announced temporary closures of manufacturing plants at a large scale. “In most cases only limited production and core functions will continue to uphold essential operations and services, as well as to secure the availability of spare parts for repair and maintenance. It is expected that 90% of activity will come to a halt for at least a number of weeks and also non-manufacturing work is increasingly scaled back. Some companies are already in economic distress and need support.”

CLEPA informs its members on a regular basis and has set up a Covid-19 Task Force composed of member companies and associations. In times where strong cooperation is needed, CLEPA is also collaborating with other organisations and stakeholders in Brussels.

 

Industrial reinassance? Why automotive is a critical technology for Europe

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Does Europe’s automotive industry lag behind, supposedly stuck in producing “state-of-the-art technology that is however no longer wanted”? Or is Europe’s automotive industry a key asset in the quest for carbon neutrality, digital leadership and a sustainable, globally competitive economy?

in CLEPA, by Sigrid de Vries, 05-03-2020

Regardless of what might seem popular belief, it’s high time general mindset adapted to the latter. The upcoming new Industrial Strategy offers a key opportunity to do so.

It’s not a matter of ‘if’ but of ‘how’ to achieve the ambitious objectives of carbon neutrality, digitalisation and sustainable growth. And for that to happen, Europe must play to its strengths. The European automotive industry, and in particular the automotive parts and components industry, has strong assets to this regard.

Automotive is a prime example of a strategic value chain, and mobility is a booming business

The sector ranks among the most competitive, innovative and resilient, employs a highly-skilled workforce of 5 million and invests more in R&D than any other private party. Automotive is also a prime example of a strategic value chain, with a long string of companies and activities linking the products’ coming about from cradle to grave and back, and with a wide ripple effect into other parts of the economy. One job in vehicle manufacturing creates on average 3 more in the direct supply chain and a further 3 to 5 in the wider economic fabric.

Mobility, furthermore, is a booming business with further growth and demand expected. With the face of mobility changing to connected, automated, shared, seamless and multimodal, products and services become increasingly smart, linked, usage rather than ownership centred, and technologically complex. There is a lot of value to be had in mobility, with new players from tech to telecoms eagerly wanting a piece of the growing pie.

Why is China investing so heavily in growing its own competitive automotive industry? Because of the high value-add and trigger effect for broader economic activity. How does China try and secure a place at the global automotive stage? By putting massive efforts in automotive R&D aiming for advanced quality products, mimicking the strategies of its strong EU competitors.

The sensors in your smart phone that measure your steps or ambient temperature were designed for use in cars first, not phones

Does China limit itself to electric vehicles? No doubt electric is where the offensive started, rooted in cheap access to battery production as much as in trailing competence in combustion-engine technologies. But China is also the world largest producer of ‘traditional’ vehicles and powertrain components (20% of Europe’s imported automotive parts come from China, as the impact of the Corona virus has vividly brought to attention), and the country is massively eying hydrogen-based solutions as well. Because mobility doesn’t allow a one-solution focus: urban buses are a key target, as is long-haul transport.

Will it then, ultimately, be the large tech companies that make their automotive competitors obsolete? At least for now, the tech-meets-automotive encounters don’t point in that direction.

Tesla’s positioning itself as a tech company can be seen also as an acknowledgement that understanding and mastering whole-vehicle architecture is a competence in itself. A vehicle is a complex system of systems which need to work in an integrated, secure, safe, clean and steady manner for years on end. The sensors in your smart phone that measure your steps or ambient temperature were designed for use in cars first, not phones, and by automotive suppliers who are used to design against extreme circumstances, be it vibrations, weather events or others.

Together with the vehicle manufacturers, automotive suppliers combine expertise in technology, vehicle architecture and manufacturing that is second to none in the world. They lead in system integration which allows manufacturing of a complex good like a car on industrial scale, at highest quality level at competitive cost. Integration of advanced technology at ‘automotive grade’ level represents an excellence, a critical knowledge and strategic knowhow that are precious and enviable.

There is no alternative to climate change or digitalisation. What’s needed, is a business case that works

The challenge now, for Europe, is to allow European industry to thrive in order to meet the ambitious targets society has set. The justification is a given; there is no alternative when it comes to climate change or digitalisation. What is needed, is a business case that works—a model to earn a revenue by serving customer demand, upholding the values we all hold dear, supporting economies and jobs in Europe in successful competition with other regions in the world.

In business terms this means two things: if Europe is serious about leading the world, this must also entail that others actually follow. If they don’t or adopt a different pace, Europe risks losing crucial parts of its value chain and the ultimate goals won’t be achieved either.

The second reality is that current technology pays for new technology. Hence, innovative transitional technologies are an essential asset and lever to establish a mass-market for the more disruptive solutions, in an ecological, affordable and economically sustainable way.

We have high hopes for the new EU industrial strategy which is to accompany the Green Deal and the Digital Agenda. The signals from the Digital Strategy and Data Strategy are positive. As regards the ambition to turn the Green Deal into a growth strategy, CLEPA will work with policy makers and stakeholders to ensure a supportive regulatory framework that is free of technology bias, promotes innovation, invests in education and skills, and applies a holistic approach. We are keen on looking at the broader picture of both the vehicle and the system it is embedded in, including infrastructure, energy sources and carriers, and the link with related strategic value chains.

 

Sigrid de Vries, CLEPA Secretary General

CLEPA Press Release | EU Climate Law: “Long-term planning essential, regular check against delivery too”

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The Commission adopted yesterday the proposal for a Climate Law, containing the “binding objective of climate neutrality in the Union by 2050”, the right for the Commission to adopt the post 2030 trajectory in comitology, as well as a framework to implement corresponding policies and to assess progress on Union and member state level.

in CLEPA, 05-03-2020

Sigrid de Vries, Secretary General of CLEPA, the association of automotive suppliers’ in Europe:  “We consider the climate law as one instrument of several within a comprehensive strategy on mitigating climate change, reaching climate neutrality in 2050. We support the development of a long-term EU strategy to reduce GHG emissions because of the inherent opportunity to provide planning certainty for companies. It should be built on a clear definition of what constitutes climate neutrality and on an assessment of the impact of such a law on the citizens and companies within the EU to ensure that we maintain the balance of ecologic, economic and social aspects.

“The reduction of GHG emissions depends largely on technological innovation, its deployment and acceptance by citizens. It is not possible to forecast reliably such progress or prescribe it by policy in the long-term perspective up to 2050, making regular reviews of the effectiveness of the strategy and potentially adjustments necessary. Similarly, GHG emissions will have to be reduced substantially outside the EU as well for the policy to be effective. Such reduction should be considered in the review of the EU climate policy.”

“In the Climate Law, there is no reference to policy developments in other important regions of the world, such as China or the US. The Climate Law foresees to assess progress towards climate neutrality but not the policy approach itself, whereas a regular check of being on the right track would benefit from such assessment too.”

“The automotive suppliers’ industry in Europe is a driving force behind the transformation to sustainable, safe, and smart mobility. We support the Paris agreement and are ready to contribute to a reliable, technology-open, and ambitious regulatory framework to achieve its objectives. We urge the European legislators to build on Europe’s strengths—the single market, the continent’s advanced technology competence, its high value-add industrial base and global competitiveness—and to provide the coordinated and comprehensive regulatory framework needed to master the monumental tasks unfolding.”

 

European Commission’s digital package outlines regulatory and policy actions for connected and automated driving

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Commission President Ursula von der Leyen presented today three publications setting out the Commission’s priorities on digital issues: “Europe for the digital age,” “A European Strategy for data,” and a White Paper on Artificial Intelligence. The Commission also sets out to adopt in 2020-2021 a number of legislative proposals which will directly influence the deployment of connected and automated driving, such as a revised liability framework to address safety and liability for automated cars and a review of the type approval legislation for motor vehicles to open it up to more car data based services.

in CLEPA, 19-02-2020

CLEPA supports the European Commission’s overall approach outlined in today’s publications, and stresses the importance of digitalisation in the automotive sector’s transformation. Sigrid de Vries, Secretary General of CLEPA, the association of the automotive suppliers’ industry in Europe, comments:

“Connectivity, higher levels of vehicle automation, and the move towards near or full autonomous driving are megatrends that are transforming mobility, and the automotive suppliers of Europe are a driving force behind this transformation towards sustainable, safe and smart mobility. We support the Commission’s objective to provide the supportive regulatory framework needed to make this transformation a success for Europe.”

In its European strategy for data, the Commission states its intention to make more data available in order to help data-driven businesses to emerge, grow, and innovate. CLEPA shares the Commission’s views on the value of data for the European economy and society. Therefore, we warmly welcome this approach and, in particular, support the idea of developing a “common European mobility data space” in order to make it easier to use data produced by connected cars, while ensuring that citizens remain in control of their personal data. Sigrid de Vries comments:

“Connected and automated vehicles will generate large amounts of data, which holds great potential for the automotive industry. Under the right framework conditions, the availability of automotive data will allow the development of new business models that help finance the innovation that will assure continued European leadership in the global mobility market. For the success of new services, especially in repair and aftermarket, independent and unmonitored access to in-vehicle data and resources must be ensured for third parties.”

CLEPA also welcomes the Commission’s proactive and supportive approach towards the development of Artificial Intelligence (AI) and its objective to make Europe a frontrunner in this new technology. We support the incentives proposed to boost the development and uptake of AI across the EU economy. We also agree that ensuring citizens’ trust and acceptance is crucial. However, automotive suppliers believe that a balance must be achieved to ensure that this goal does not stifle innovation, which could reduce the safety benefits that automated vehicles can bring. Sigrid de Vries says:

“Advanced driverless technology needs to be embedded in a regulatory framework, and public acceptance of future driverless cars and trucks needs to be increased. CLEPA fully supports the Commission’s objective to review existing EU legislation and adapt it to better address the risks of safety and liability in the context of AI. The risk-based approach adopted by the Commission is the right one to prevent the regulatory framework from being overly prescriptive and disincentivise innovation in this emerging field. However, automotive suppliers must also caution against one-size-fits-all approaches: AI for automated cars is highly complex and must make quick real-time decisions. This differs widely from AI applications for other fields, and should be reflected in any regulatory or policy approach.”

 

CLEPA shares the views of the automotive supply industry on the Product Liability Directive during the IMCO Committee public hearing

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The European Parliament’s Committee on the Internal Market and Consumer Protection organised today a public hearing to discuss the need to review the Product Liability Directive and related challenges in the new digital age. Frank Schlehuber, Senior Consultant Market Affairs at CLEPA, attended the hearing to present the association’s position on the issue.

in CLEPA, 22-01-2020

It is recognised that most accidents involving vehicles are currently caused by human error, while only a small percentage is credited to technical failures. However, as more autonomous functions start to become present in cars, there is a shift in liability from the driver to the vehicle manufacturers whether they are OEMs or automotive suppliers.

CLEPA supports the need to serve the end-consumer and to provide them with a safe, secure environment and to ensure that a victim of a road traffic accident is compensated in an easy, speedily and efficient manner. However, it is the view of CLEPA that the scope and application should be extended to include all relevant market participants and stakeholders, involved in this new ecosystem.

During the hearing, CLEPA raised four main concerns regarding the need to review the Product Liability Directive, namely the scope of application of its article 1: “The producer shall be liable for damage caused by a defect in his product.”

First, CLEPA believes that the “product” is no longer seen as a physical product, and there should be a new definition that integrates software and other services, as well as recognises that they are dependent on additional data to make them work.

Second, the current definition of “defect” already opens a wide room of flexibility, however there should be a guidance from lawmakers on what is understood under artificial intelligence.

Third, there is a need for an extension on the producer’s definition that includes all players, even to those who modify products.

Lastly, our industry is dependent on R&I and there needs to be a certain freedom during development phase, therefore the exemption to liability during this phase of a product should be maintained and, if possible, reinforced to maintain our industry competitive.

 

The EU-Vietnam FTA Chances for European and Vietnamese business, consumers and workers

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CLEPA supports an ambitious EU trade policy. EU Free Trade Agreements create opportunities for European businesses, contribute to job creation, and enhance global competition and innovation. Vietnam is a fast growing market and a strategic partner, fulfilling a crucial role in global manufacturing supply chains. CLEPA is therefore a member of the EU-Vietnam business coalition to support the ratification of the EU-Vietnam Agreement and calls for a positive vote in the European Parliament’s INTA committee on Tuesday, 21 January

in CLEPA, 20-01-2020

The undersigned business associations respectfully request Members of the European Parliament (MEPs) to consider the benefits for both sides and to approve the EU-Vietnam Free Trade Agreement.

We note that the negotiations on the EU-Vietnam FTA concluded in December 2015, and both European and Vietnamese businesses and consumers have been waiting since then for its ratification and entry into force.

The trade agreement, with its liberalisation of tariffs and deepening of business links, represents a great opportunity for European businesses – granting access to a strong emerging market of close to 100 million people. It also opens the door to partnership, dialogue and cooperation with Vietnam creating stronger ties with the South-East-Asian region and will raise standards for consumers and workers alike. The agreement contains a strong chapter on trade and sustainability, to which the Commission and Vietnam have made a strong commitment to ensure close compliance. Furthermore, the Vietnamese government has made an equally strong commitment to address earlier concerns about workers’ rights and ratify and implement three core ILO conventions. One of these has already been transposed into Vietnamese law, and the Vietnamese government will implement the others shortly, significantly improving the situation of workers in Vietnam.

The EU-Vietnam Business coalition firmly supports the approval of the EU-Vietnam Agreement, and we ask for your support of ratification of this Free Trade Agreement in the INTA committee on Tuesday, 21 January.

 

 

CLEPA PR on Just Transition Fund: Ensure European competitiveness, balance inevitable disruption

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The European Commission has today adopted the regulation creating the Just Transition Fund and the Sustainable Europe Investment Plan and presented the proposals to the European Parliament.

in CLEPA, 14-01-2020

“We welcome the launch of the Just Transition Fund and the Sustainable Europe Investment Plan. Both have to be seen in conjunction with the ambitions of the European Green Deal towards climate neutrality and mutually reinforce each other,” says Sigrid de Vries, Secretary General of the association of the automotive suppliers’ industry in Europe.

“The automotive suppliers’ industry in Europe is a driving force behind the transformation to sustainable, safe, and smart mobility. We support the Paris agreement and are ready to contribute to a reliable, technology-open, and ambitious regulatory framework to achieve its objectives.

We urge the European legislators to build on Europe’s strengths — the single market, the continent’s advanced technology competence, its high value-add industrial base and global competitiveness — and to provide the supportive regulatory framework and financial support needed to master the monumental tasks unfolding and maintain manufacturing and employment in Europe.

Climate policies must be deeply intertwined with a coherent industrial strategy to strengthen our competitiveness and power to innovate, in order to ensure that the three pillars of the sustainability triangle, i.e. environmental, economic and social policies, are balanced. Such balance is precarious and climate protection needs to condition the strategies towards a sustainable economy as much as the social and economic dimensions should.

The fact that a Just Transition Fund will be needed, is ominous. Hence, only in cases where disruption of industries cannot be avoided, it should serve to balance the impact.

 

Thorsten Muschal (Faurecia) elected new CLEPA President

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The European Association of Automotive Suppliers (CLEPA) has elected Thorsten Muschal as new President for the term 2020-21, succeeding Roberto Vavassori who held the position since 2016. Mr Muschal is Executive Vice President responsible for Sales and Program Management at Faurecia, the Paris-headquartered multinational. He has been CLEPA vice president for the past 4 years and is well versed into the EU policy dossiers impacting the automotive industry.

in CLEPA, 14-01-2020

“Automotive suppliers are key contributors to change in mobility and industry. Europe must succeed in reaping the industrial benefits of climate and digital leadership, and on this crucial question CLEPA stands ready to help with technology solutions and proposals for policy”, said Mr Muschal. “I warmly thank Roberto Vavassori for his important work over the past years and look forward to working with the CLEPA team on further strengthening the voice of our industry.”

The automotive industry is undergoing the biggest transformation in over a hundred years — to a large part because of the need to decarbonise transport. The other two major trends are assisted & automated driving, and data-fuelled connectivity which enables new mobility types and services. 

“At CLEPA, we are convinced that no-one can master these challenges on their own and we believe in European solutions to find and work together. The urgency to deliver is extremely high”, said Muschal. “For Europe to secure strategic autonomy in the field of ‘new mobility’ which is safe, sustainable and smart, and to compete effectively with other world regions while sustaining high levels of employment and innovation in Europe, there are high levels of investments needed in renewable energy, energy infrastructure, secure and fast connectivity as well as in critical technologies, innovation and skills.” 

“As consumer priorities and ever-stricter emissions regulations transform the automotive industry, CLEPA is committed to working with policymakers and nurturing the business conditions that ensure European suppliers maintain their leading position on the global market. European automotive suppliers are at the forefront of shaping the mobility of the future, and the innovation ecosystem they cultivate and drive, which integrates engineering expertise and leadership in technology and digital transformation, is the backbone of the move towards carbon neutrality and a more sustainable approach to mobility.”  

Automotive suppliers aspire for the future of mobility to be safe, sustainable, smart and competitive. This is the vision CLEPA has laid out in full during the 4th December event Future as we Move – Shaping Solutions of Mobility. More information can be found here.  

 

About Thorsten Muschal 

Thorsten Muschal is Faurecia’s Executive Vice President of Sales and Program Management since 2017. He has held leadership positions at Faurecia in Germany, North America, and France. Thorsten Muschal joined Faurecia in 1992. More information can be found here. 

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 25 billion euros yearly in research and development. Automotive suppliers in Europe employ about five million people across the continent. 

For more information, please contact the Communications department at communications@clepa.be 

About Faurecia 

Faurecia is the 9th largest international automotive parts manufacturer in the world and #1 for vehicle interiors and emission control technology. One in three automobiles is equipped with their solutions. 

 

Green deal needs to balance climate protection, economy and social dimension

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Commission President Ursula von der Leyen presented today the Communication on the European Green Deal, detailing next steps in climate policy, including the announcement of a proposal to enshrine the 2050 climate neutrality objective in legislation. The Commission also sets out to adopt proposals for specific sectors, such as a revision of the CO2 standards for light duty vehicles, deployment of charging infrastructure, support for alternative fuels and more stringent pollutant emission standards.

in CLEPA, 11-12-2019

Sigrid de Vries, Secretary General of CLEPA, the association of the automotive suppliers’ industry in Europe, comments:

“The automotive suppliers of Europe are a driving force behind the transformation to sustainable, safe and smart mobility. We support the Paris agreement and are ready to contribute to a reliable, technology-open and ambitious regulatory framework to achieve its objectives. We urge the European legislators to build on Europe’s strengths — the single market, the continent’s advanced technology competence, its high value-add industrial base and global competitiveness — and to provide the supportive regulatory framework needed to master the monumental tasks unfolding.”

“Ideally, climate policies would be deeply intertwined with a coherent industrial strategy, which ensures that environmental, economic and social policies are balanced. Such balance is precarious and climate protection must condition the strategies towards a sustainable economy as much as the social and economic dimensions should.”

“The recently agreed CO2 limits for cars are the world’s most ambitious and will spark real progress towards defossilisation and cleaner air. An earlier revision of the CO2 standards may provide a good opportunity to take stock of progress and to examine whether industry and society are on the right path. However, such revision cannot realistically include a renewed debate on the level of ambition so shortly after adoption. Focus should now turn to enabling the transformation.”

“We advocate for an even more intense and constructive dialogue with all stakeholders concerned.  In the crucial and highly-complex area of electrification, we now first and urgently need to enable scale. This means forging a high level of collaboration across Europe to secure the necessary charging infrastructure, stepping up renewable energy generation, promoting green public procurement, and enabling development and production of next-generation batteries.”

“There is additional decarbonisation potential in the car fleet which can be realised without changing the current CO2 regulation. This includes making the use of e-fuels a reality by putting binding targets in the revision of the Alternative Fuels Infrastructure Directive and Renewable Energy Directive, establishing the emission trading system for the road transport sector, promoting the modal shift via Eurovignette and Combined Transport Directives, improving the prospects for hydrogen and increasing investment in R&D.”

“Automotive suppliers are technology solution providers and stand ready to work together towards the common objectives.”