EU’s Automotive Action Plan charts positive first steps, but misses addressing crucial needs of the supplier industry  

• European Commission suggests earlier review of the CO2 regulations for fleets 

• Action Plan commits to a legislative proposal on access to in-vehicle data if the Data Act proves insufficient 

• Suppliers require urgent action to secure jobs and innovation 

The European Commission’s newly published Industrial Action Plan for the European Automotive Sector sets a framework for the industry’s future at a critical juncture, as Europe’s automotive supplier sector faces alarming challenges – including the announcement of 54,000 job losses in 2024 alone. While CLEPA welcomes the Commission’s initiative, key questions remain unanswered, and the urgency of the situation demands swift and concrete action.

CLEPA welcomes the suggestion by Commissioner Tzitzikostas at today’s press conference that the review of the CO2 regulations will start in 2025, rather than 2026 as foreseen in the regulation and to do so based on a technology neutral approach. However, the text of the Action Plan does not contain concrete commitments.  

“Limited relief on compliance is important. The crucial question remains: How will technology-neutrality be implemented in practice? To sustain competitiveness and preserve jobs, the EU must embrace a diverse portfolio of sustainable technologies – including plug-in hybrids (PHEVs), range extenders, hydrogen, and renewable fuels. We are keen to contribute to the next steps, with ‘full technology-neutrality as a core principle’, as announced by Commission President von der Leyen recently. These must include a clear and lasting role for clean mobility technologies that complement electrification up until 2035 and beyond,” said CLEPA Secretary General Benjamin Krieger. 

Automotive suppliers acknowledge progress on digitalisation. A key driver of suppliers’ continued growth is fair access to in-vehicle data, which is needed for advancing engineering, unlocking new services, and fostering data-driven innovation. After more than eight years of discussion, the Commission’s Action Plan pledges to introduce a legislative proposal to unlock the potential of the data economy and ensure access for all mobility ecosystem players. “The Commission’s commitment to a framework for vehicle data sharing is a significant step forward. However, delays risk stalling investments and slowing progress at a time when speed is critical. If the Guidelines prove insufficient, additional regulation will be essential,” said Benjamin Krieger. 

Equally important for the continued growth of the automotive aftermarket, CLEPA welcomes renewed efforts on the Motor Vehicle Block Exemption Regulation. The Commission acknowledges elements undermining competition in the automotive sector and the need to adapt the regulation to the current challenges of the digital environment. 

The push for a single market for autonomous vehicles, a key CLEPA request, is a significant step forward, but greater ambition is needed. CLEPA urges the swift adoption of regulation and a clear timeline for type-approving unlimited series of fully autonomous vehicles. A harmonised approach is crucial for timely deployment, cost reduction, flexible testing procedures, and the development of necessary digital infrastructure.” 

Securing Europe’s role in all critical automotive technologies without creating distortion in the market remains key, and the EU must urgently consider policy measures that safeguard European value creation and overall competitiveness – whether through targeted funding, demand-side incentives, or trade defence instruments. The goal should be a level playing field for competition while preserving the advantages of production at scale and a globally connected supply chain. More than 3,000 companies – many of them small and medium-sized enterprises – depend on this flexibility to thrive in Europe. 

In recent weeks, CLEPA and its members have actively engaged with European Commissioners, presenting practical, solution-driven strategies to steer the sector toward recovery. With work strand meetings planned until the summer, suppliers will continue to push for urgent action. The stakes are too high – Europe’s automotive workforce and industrial future depend on bold, decisive policies that move beyond rhetoric and into action.