In the form of the European Commission, the EU now promises to offer Europe's car industry some form of relief. This is happening at a time when the industry is plagued by huge debts and bankruptcies.
The European Commission has announced that it will offer emergency aid to Europe's car industry, which is in the midst of a major crisis. The industry, which is one of the most important sectors in the EU, is facing major challenges.
According to the EU Commission, up to 100,000 jobs are at risk as a result of the current situation.
– Together we must ensure that the cars of the future continue to be manufactured in Europe, stated Ursula von der Leyen, President of the EU Commission, in a speech that addressed the problems facing the car industry.
Car manufacturers in Europe are under pressure from several sides. Among other things, it is expected that in 2024, climate fines of several billion euros will be imposed, at the same time that the demand for electric cars is low.
Compared to competitors in the US and China, European car manufacturers also receive far less financial support. Ursula von der Leyen has announced a so-called "strategic dialogue" to bring stakeholders together to find solutions.
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– We want to gather all stakeholders around the table. To listen to each other. And designing solutions together as this industry undergoes a deep and disruptive transformation, von der Leyen said as part of a call to collaborate on the challenges.
Despite these announcements, no concrete plans have yet been presented by the EU Commission. It is still unclear how the strategic dialogue will lead to concrete improvements for the industry.
According to Ursula von der Leyen, it will be decisive to ensure that the car industry can maintain its production and competitiveness in Europe, as it plays an important role for the economy of several EU countries.
The EU Commission's caps on support come at a time when the industry is not only struggling with climate requirements, but also with tough competition from countries outside Europe. It underlines the need for action if the EU is to maintain its position as a global actor in car manufacturing.
