CLEPA calls for fair play in trade agreements
“We need an assertive Commission, to ensure fair play and enforce the reciprocity rule in its agreements with international partners,” said incoming CLEPA Chief Executive, Jean-Marc Gales, at CLEPA’s Annual Reception, held on Tuesday in Brussels.
Gales takes over officially from Lars Holmqvist on Monday, 2 April. Holmqvist, who is retiring after eight years as Chief Executive of CLEPA, the European Association of Automotive Suppliers, also emphasised the need for a level playing field, saying he welcomed all competition “as long as it is fair competition.” For that to happen, he said, “we need the support of the Commission.” The European Commission is listening, said Antonio Tajani, European Commission Vice President and Commissioner for Industry and Entrepreneurship, who also spoke at the event. “I think it is important for us to work in favour of competitiveness in the automotive sector.”
Tajani stated his commitment to the automotive industry. “For me it is very important to back your sector,” he said. Referring to the forthcoming final meeting of CARS21 (Competitive Automotive Regulatory System for the 21st Century). “The meeting will not only be the last meeting of CARS21, it will be the first meeting for an action plan in favour of this sector.” Europe needs a strong economy to overcome the debt crisis, he said, adding that the automotive industry lies at the heart of a strong economy.
In his speech and during a separate media briefing, Peter Tyroller, President of CLEPA, said, “We are an international industry that needs to spread large development costs over high numbers. We need Europe’s single market for this, but we also need open markets and fair trade rules worldwide. European trade policy should focus on those areas where Europe’s industry can benefit most. CLEPA objects to free trade agreements where our partners seek full access to Europe but are not ready to give free access in return.”
In his speech and during a separate media briefing, Peter Tyroller, President of CLEPA, said, “We are an international industry that needs to spread large development costs over high numbers. We need Europe’s single market for this, but we also need open markets and fair trade rules worldwide. European trade policy should focus on those areas where Europe’s industry can benefit most. CLEPA objects to free trade agreements where our partners seek full access to Europe but are not ready to give free access in return.”
Referring specifically to Europe’s trade negotiations with India, Tyroller, who is a member of the board of management of Robert Bosch, said, “India is not willing to open its market for several automotive products, and wants to keep high tariffs on these products. CLEPA is willing to accept transition periods before full tariff liberalisation, but duty free access has to be the end-product. It would set a dangerous precedent for Europe to accept the Indian position.”
Emphasising that he was not calling for protectionism, Tyroller said, “We do not fear competition, but when other regions get duty free access to Europe, we must be able to enter their markets without tariff barriers as well.”
Tyroller also addressed the Commission’s proposals for CO2 legislation by 2020. “95g CO2/km is not an easy target, but we have no doubt that existing technologies and the innovative strengths of the European automotive industry will allow us to reach that target.” However, CLEPA does not support the idea of setting targets beyond 2020. “We think it is too early to fix a target beyond 2020 at this stage.”
Tyroller clearly stated CLEPA’s position on the Commission’s energy taxation proposals, which he said “will make diesel fuel more expensive, and if implemented, will lead to a significant shift to gasoline cars. As diesel cars have a CO2 advantage over gasoline cars of 20%, the proposal would consequently lead to higher CO2 emissions, and as the European industry is also a world leader in diesel technology, the proposal would also result in lower competitiveness. We therefore reject the proposal on both environmental and industrial policy grounds.”
Source: Automotive World
By: Martin Kahl
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In: Growth & Competitiveness