The CEOs of Volkswagen and Stellantis have called for a "Made in Europe" strategy in an op-ed to bolster electric vehicle production in the EU. They seek to relax EU climate rules in favor of domestic manufacturing and introduce financial incentives like a CO₂ bonus. The aim is to secure investments in Europe and address geopolitical challenges.
Europe's largest carmakers Volkswagen and Stellantis are demanding more support from the European Union for electric vehicles manufactured in Europe. In a joint op-ed for Handelsblatt and the French newspaper Les Echos, VW CEO Oliver Blume and Stellantis executive Antonio Filosa argue that a "Made in Europe" strategy is essential to boost investments and offset competitive disadvantages.
The executives propose tying vehicles sold in the EU market more closely to European production standards. "Made in Europe" criteria would cover production, drivetrain, battery cells, and electronic key components. Qualifying vehicles should receive a label and benefit from state purchase premiums or public contracts. "Every electric vehicle 'Made in Europe' should receive a CO₂ bonus," emphasize Blume and Filosa. If a manufacturer meets these criteria for a large part of its fleet, the bonus should apply to all its electric vehicles. This would avoid billions in fines and promote investments in the EU single market.
The strategy should not lead to protectionist isolation. "We cannot put a protectionist fence around every workbench," write the CEOs. Instead, it aims to build resilience in strategic components. Amid an era of geopolitical competition where trade and technology serve national interests, Europe must decide whether to remain just a market or also a producer and industrial power.
The automotive sector accounts for about eight percent of EU GDP and provides 13 million jobs. Green politician Franziska Brantner welcomes the proposal: "Our economy can only be successful and resilient if we consistently think European and bet on Made in Europe." She urges the German government to implement a genuine European industrial policy.
