The Swedish car giant is carrying out an extensive savings package with a focus on Sweden, at the same time as Minister of Economic Affairs Ebba Busch defends the EU's climate ambitions.
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Volvo Cars has announced a savings package covering 2,500 jobs due to competition from China and the US. At the same time, discussions are ongoing within the EU about easing the climate legislation for internal combustion engines.
The Swedish car giant has presented a savings package corresponding to 2,500 services - of which 2,000 are in Sweden.
- It is clear that it is heavy, especially for many employees who will now float in uncertainty for a period before we know exactly what this will end up in, says outgoing minister of business and also KD leader Ebba Busch.
Volvo Cars itself has raised the competition from China and the USA as a reason for the savings package.
- As minister of business, I see this as yet another indication of how tough the competitive situation is for companies in Sweden, and in the EU, she says.
Within the EU, however, there are different ideas about how European competitiveness should be protected. Countries such as Germany and Italy want to ease EU climate legislation because they believe it would benefit their car industries.
But for Sweden it would be harmful, according to Ebba Busch.
- Basically, it is idiotic that the EU backs away from the basis it has set for how to be able to combine increased economic growth with reduced emissions.
"Can't hold on and reverse"
Within the EU, discussions are now taking place on several levels about withdrawing already decided climate measures.
Among other things, it is about loosening the planned ban on combustion engines, which in practice is a ban on the sale of new petrol and diesel-powered passenger cars from 2035 onwards.
Volvo Cars has previously said that the ban should remain, for competitive reasons, and Ebba Busch says that she is critical of attempts to scale back climate ambitions within the EU.
- We have many companies in Sweden that have made multi-billion dollar investments to respond to what the EU has requested. Then you can't hold on and back away from it in this way.
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