EU automotive suppliers and manufacturers set out urgent priorities ahead of critical Strategic Dialogue

CLEPA, the European Association of Automotive Suppliers, and ACEA, the European Automobile Manufacturers’ Association have jointly released a statement emphasising the need for urgent solutions to strengthen Europe’s competitiveness.

“The Strategic Dialogue comes at a pivotal moment, as regulatory pressure, global competition, and weak vehicle demand have strained the industry, slowing business, reducing investment capacity, and impacting the workforce. Only in 2024, the automotive supply industry announced 54,000 job losses,” said Benjamin Krieger, Secretary General of CLEPA. “Automotive suppliers are vital not only to the EU’s prosperity but also to the stability of regional and local economies, yet these foundations are eroding. Now is the time for industry and policymakers to align and take decisive action for long-term technology-open regulations.”

“No more time for reports – the Strategic Dialogue now must deliver real impact based on the Draghi recommendations. We need to move from penalties-driven to market-driven and demand-driven approach to the transition,” said Sigrid de Vries, Director General at ACEA. “As an immediate priority, EU action to address crippling CO2 2025 compliance fines for light-duty vehicles is an essential must-do to keep our industry competitive.”

For the Strategic Dialogue to deliver meaningful impact, discussions and regulatory approaches must align with the following principles:

• Market-oriented and demand-driven policy: Measures to stimulate demand for light-duty and heavy-duty vehicles (LDVs and HDVs) are urgently needed. The automotive industry has already invested in zero-emission technologies, and the threat of penalties does nothing but eat away at its ability to reinvest in the transition.
• Coherence and synchronisation of measures: The transition can only succeed if ambitious climate targets are supported by appropriate recharging and refuelling infrastructure, the right carbon price, and purchase and fiscal incentives, among other
  key factors.
• Electromobility is at the forefront of the transition; however, keeping a technology-open approach remains critical to achieving decarbonisation without limiting innovation.