Volkswagen CEO Oliver Blume has said at an event alongside the Paris motor show that Europe’s mass-market carmakers are under “enormous pressure” from Chinese competition and a changing market, Reuters reports.
“We cannot build our future on export profits alone. Our European businesses must be profitable, resilient and competitive. We must secure Europe’s industrial base,” he said, adding that Volkswagen, Stellantis and Renault – which together account for over 60% of European car production – face increasing pressure to make affordable EVs while keeping costs in check.
The aforementioned carmakers are predominantly in the high-volume, thin-margin mass market. “This business model is under enormous pressure in Europe,” Blume said, calling for more flexible regulation and local manufacturing incentives to support the industry.
