The past few years have been marked by Brexit, the corona pandemic, Supply bottlenecks in semiconductors and now the war in the Ukraine. With immediate consequences for the globally networked industry: The EU car market is expected to shrink by more than a quarter this year compared to the level before the 2019 pandemic.
Now the cries for help are getting louder. The Association of European car manufacturer (ACEA) calls for support from politicians – not only when switching to zero-emission vehicles. “In order to ensure a return to growth – with an even larger share of electric vehicle sales so that the climate targets can be met – the right framework conditions must be put in place as a matter of urgency,” said ACEA President and bmwboss Oliver Zipse (58) on Thursday evening at the ACEA reception.
These include greater resilience in European supply chains, an EU raw materials law that ensures strategic access to the raw materials needed for e-mobility, and accelerated expansion of the charging infrastructure.
Reluctance among customers is growing
The latest EU car sales figures reflect the difficult situation. Since the beginning of the year, the total volume has fallen by almost 12 percent to around six million new cars sold. So far, the market has only been limited on the supply side, as the shortage of components limited production volumes. However, demand could also suffer in the coming months due to inflation and recession fears.
Taking all these factors into account, ACEA has revised its original forecast that the EU car market would grow again in 2022. Instead, he expects it to shrink again this year — to 9.6 million units. Compared to pre-pandemic numbers in 2019, that means a 26 percent drop in auto sales in just three years.
“Such a sweeping change can only be managed successfully by an industry that remains competitive in the future,” said ACEA’s new Director General, Sigrid de Vries. This also depends heavily on the right political framework.