Historical crisis warning in automotive

European automobile manufacturers called for support from governments in the face of increasing pressure from Chinese competitors and the difficulties they experienced in the transition to electric vehicles.

The trouble in the sector became more visible with the decline in the third quarter delivery figures of BMW and Stellantis companies.

Speaking at the event held within the scope of the Paris Motor Show, Volkswagen CEO Oliver Blume said that mass automobile production in Europe is under "tremendous pressure", according to the Reuters agency.

Blume reiterated his demand for flexible regulations and incentives to support local production.

Emphasizing that the future cannot be built solely on export revenues, Blume said, "Our activities in Europe must be profitable, resilient and competitive. We must secure Europe's industrial base."

Last week, the European Union (EU) announced the compromise, which is expected to reduce hybrid vehicle exports from China to the continent by more than half.

The move aims to address the concerns of European manufacturers, who are worried that Chinese manufacturers will flood Europe with low-cost vehicles due to the stagnation in the domestic market and the large closure of the US market.

Although European manufacturers generally welcome this agreement, they demand that decision-makers take further steps to strengthen competition.

Companies especially want to combat high energy costs and support the transformation to electric vehicles.

Stellantis CEO Antonio Filosa stated that more electric vehicle battery factories are needed in Europe.

Renault CEO François Provost warned that if there is no flexibility in the 2030 carbon emission targets set for automobile manufacturers, they may have to reduce their production in Europe by approximately 300 thousand vehicles.