More attention for the whole sector and an invitation to accelerate actions to ensure that the continental automotive industry has a greater competitiveness during the green transition: this is the call launched by ACEA during a hearing at the European Parliament in Brussels in view of the European Council summit. The European Association of Automobile Manufacturers, through the voice of its president Luca DeMeo (also CEO of Groupe Renault), also asks more consistent and achievable standards so as not to destroy the competitiveness of companies and consequently penalize users. The most striking example is that of the law on the new Euro 7 standard: faced with minimal environmental benefits, there is a risk that the average cost of cars will increase significantly €2,000.

ACEA: EUROPE IS BEHIND THE TECHNOLOGY RACE

After recalling the strategic role of the European automotive industry in the world since the Second World War, De Meo explained that now the situation changes drastically: “Europe and its automotive industry are at a fundamental turning point. Today we face a very asymmetrical challenge: we are no longer leading the technological race and at the same time, the incentives to buy electric cars in Europe are diminishing as we see massive support for our competitors in China and the United States. All this is taking place in a context where the competitiveness of European manufacturers is eroding”.

GREEN TRANSITION: INCONSISTENT EU REGULATIONS SANCTIONING THE AUTOMOTIVE INDUSTRY

In the sights of car manufacturers is above all the enormous volume of new rules to follow with a view to the green transition, from reducing CO2 emissions from tailpipes to integrating sustainability into production processes: “The legitimacy of these initiatives is not in question“, explains Sigrid De Vries, Director General of ACEA, “as confirmed by the investments made by the automotive industry to achieve the objectives. However, the European institutions can and must do better to ensure that the legislation is coherent, workable and competitive in a global context”.

???? Automotive industry calls on EU leaders to act to erode industry competitiveness

???? ACEA President @LucaDe_Meo: “Fleet renewal is the most powerful tool to reduce both CO2 and pollutant emissions, we should look for ways to accelerate it”

PRESS RELEASE: https://t.co/f0t6Bzugps pic.twitter.com/sBrHBlFAJQ

— ACEA (@ACEA_auto) March 21, 2023

EURO 7: WILL INCREASE THE COST OF CARS WITH MINIMAL ENVIRONMENTAL IMPACT

According to European car manufacturers, an example of inconsistent legislationimpractical and uncompetitive is that of7 euros. “The new regulation will add complexity and uncertainty to key decisions and investments by European automakers“said DeVries,”without providing the environmental benefits it claims to provide. The Euro 6 standard in force today, associated with the generalization of electric vehicles, already has the potential to reach a 80% reduction in NOx emissions by 2035 compared to 2020”. While the adaptation to Euro 7 standards, according to what the ACEA declares, would lead to a maximum of 4 additional points for cars and 2 additional points for trucks: a very marginal impact which would however have a very high cost.

Indeed, the association considers that the Euro 7 standard would lead to a average increase of 2,000 euros in the price of a new car. This means that many consumers would be forced to extend the life of their old cars, with counterproductive effects on the environment and the climate.

ACEA: WITH FAIR ACTIONS, AIR QUALITY CAN BE IMPROVED AND THE COMPETITIVENESS OF THE SECTOR CAN BE MAINTAINED

On the contrary, De Meo rightly recalls, the fleet renewal it is the most powerful tool for reducing polluting emissions, and we must work to accelerate it:”We must also consider other opportunities, using the right tools and acting where it makes sense. For air quality, the focus should be on large cities, in compliance with the principles of subsidiarity and proportionality. Our message to EU policy makers is that air quality can be improved and climate impact reduced while maintaining the competitiveness of the sector. The European automotive industry is ready to work with the institutions to find the best ways to achieve these goals”.