Car industry

Everyone from industry to pundits, and even NGOs, have for months lamented a lack of a comprehensive automotive industrial strategy across the EU, to match the continent’s green deal agenda of CO2 targets. This finally landed in early March, dubbed the Automotive Industrial Action Plan. This analysis looks at its most prominent proposals across clean vehicle, supply chain and infrastructure aspects, outlining its strengths and missteps.

Carbon emissions from transport will still account for 44% of Europe’s total in 2030. The sector's decarbonisation comes with broad challenges, including industrial transformation to scale new technologies, secure local green jobs, and ramp up new supply chains. Transport & Environment's Julia Poliscanova looks at the building blocks of a successful mobility transition for the next European Commission. 

On 12 June 2024, the European Commission announced additional preliminary tariffs of up to 38% on Chinese electric vehicles (EVs). This is based on an EU anti-subsidy investigation, which found that China is extensively subsidising its automotive sector. The United States also recently raised comparable tariffs to 100%. At the same time, some large European car manufacturers are anxious about potential retaliatory measures by China.

For more than 100 years, the automotive industry has relied on cars with internal combustion engines. Today, transformation is irrevocable. The Covid-19 pandemic makes it a truly Herculean task.

Detected five years ago, ‘Dieselgate’ remains partly unsolved, although national governments and the European Commission have offered a wide range of responses. Consumers criticise the scandal-handling by car manufacturers.

Increasing mobility and trade as well as the shortening of a vehicle's average life have led to a growing number of vehicles that have reached the end of their useful life in Europe.