Finance
EU to host auto sector talks to tackle waning competitiveness
Published by Global Banking and Finance Review
Posted on January 20, 2025
2 min readLast updated: January 27, 2026
Global Banking and Finance Review
Company
Published by Global Banking and Finance Review
Posted on January 20, 2025
2 min readLast updated: January 27, 2026
The EU will hold talks to address the auto sector's competitiveness, focusing on innovation and regulatory challenges. Key discussions start Jan 30.
BRUSSELS (Reuters) - The European Commission will host European automakers, suppliers and trade unions for a first round of talks on Jan. 30 designed to produce EU plans to protect the struggling sector that is vital for the bloc's prosperity.
Commission President Ursula von der Leyen told EU lawmakers late last year that she would start a "strategic dialogue" on the future of the car industry in Europe.
The Commission said on Monday it would hold the first dialogue to discuss the most critical challenges and potential solutions. Transport Commissioner Apostolos Tzitzikostas will take charge of developing an action plan.
The bloc's carmakers, have been closing factories, and cutting jobs as they struggle to compete against Chinese rivals and are bracing for U.S. tariffs after U.S. President Donald Trump takes office.
They are also balking at potential large EU fines if their fleets do not meet CO2 emission limits in 2025 or deals to avoid them that would benefit foreign electric vehicle producers.
The dialogue is designed to help EU industry catch up in key technologies, such as batteries, software and autonomous driving, streamline regulation, ensure competitive input costs and guarantee a level international playing field.
The automotive industry employs over 13 million people and contributes about 7% to the EU economy.
(Reporting by Philip Blenkinsop; Editing by Tomasz Janowski)
The talks aim to produce EU plans to protect the struggling automotive industry and address its competitiveness challenges.
Transport Commissioner Apostolos Tzitzikostas will take charge of developing the dialogue.
Carmakers are closing factories and cutting jobs due to competition from Chinese rivals and potential U.S. tariffs.
The automotive industry employs over 13 million people and contributes about 7% to the EU economy.
The dialogue will focus on key technologies such as batteries, software, and autonomous driving.
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