The European Automobile Manufacturers Association (ACEA) has forecasted a 10% year-on-year rise in EU car sales across 2021, whilst reinforcing industry commitment to carbon neutrality.
According to the ACEA, Covid-19 impact will continue to hamper demand in the first quarter, but the car market is expected to gain momentum in the second half of the year as vaccination programmes progress.
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Oliver Zipse, president of the ACEA, stressed the need for cooperation, as the industry begins its recovery: “Now more than ever it is crucial that we work hand in hand with EU policymakers to strengthen the competitiveness of Europe’s auto industry on the global stage.”
Attributable to a robust business model and international demand for European models, OEMs in Europe have seen a more rapid recovery than those in Asia. Despite this resilience, Zipse described a sustainable economic recovery of the EU, and a resumption of strong local demand, as “vital”.
In the process of such progression, the ACEA emphasizes the importance of remaining dedicated to electrification.
Zipse commented: “Despite the economic pressures caused by the pandemic, our industry remains fully committed to its ongoing transformation to carbon neutrality”
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By GlobalDataWhilst the market share of EVs grew strongly in the last twelve months, industry figures must not take their foot off the gas.
Zipse added: “With the right policy support, including a charging and refuelling infrastructure for alternative fuels across all EU member states, this positive trend can continue.”
Provisional 2020 figures show EU-wide market share has more than tripled thanks to increased industry investments and national support measures to stimulate demand. Currently at 10.5%, EVs represented only 3% in 2019.
In response to the changing nature of technologies going into vehicles, the ACEA is also calling for a realistic strategy on access to supplies and raw materials, necessary for state-of-the-art vehicles.
An industry with complex supply chains and a just-in-time business model, automotive risks facing immense disruption due to the sudden interruption of crucial supplies, as evidenced by the recent microchip shortages.
Zipse concluded: “Our sector is working hard to recover and rise to the challenges ahead. Because an EU auto industry that is strong – both at home and globally – will not only contribute to strengthening Europe’s economy, but also to reaching its climate ambitions.”
