Car industry on alert: the data that confirms the fall

The automotive world is increasingly in turmoil regarding the now famous ecological movement. Europe has set a deadline of 2035 to make all cars sold zero emissions. In the race for ecology, it is the electric that seems to have a special advantage and is gradually overcoming the price lists of almost all the car giants. At the same time, however, other interesting solutions are also being explored, such ashydrogen oh biofuel. In short, the situation is still changing.

Unfortunately, however, if there is excitement on one side, on the other side, customers, there is some misalignment due to various factors. First there is a certain trust in new technologies and then there is certainly an economic problem that has literally sent the car market into crisis in the last 4 years. Proof of this is the data from Clepathe european association of automotive suppliers. Apparently, from 2020 to today, 86,000 jobs have been lost in Europe.

The emergency database

In this sense, Germany was the most affected with almost 60% of the cuts, corresponding to 52,000 positions lost. Just a few weeks ago it turned out that it was just in the country of Germany Volkswagen it would be closing a factory for the first time in its history. A somewhat epochal event that shows the extent of the crisis that has affected the entire automotive sector.

Naturally, Clepa, with this report, wants to shed light on the situation and call for help to the political class. Others were announced only in the first half of 2024 32,000 cuts even higher than what was seen during the pandemic. In 2020, 29,000 cuts were announced. Presumably this crisis would be the result of a drop in demand, the delay in investments in new technologies and an increase in production costs.

A little hope

In all this, however, there is a small glimmer of light emerging for the automotive industry. Clepa pointed out, in fact, that 29,000 jobs were created, 19,000 of which were in the electric car sector alone. Naturally, the entire supply chain is also under the influence of strong Asian competition, which produces well-made cars at low cost, entering into heavy competition with European manufacturers, which are losing market share and therefore forced to reduce production. Directly in this regard, the dispute between Europe and China was born regarding the famous duties whose task would be to equalize prices between cars from the Old Continent and cars from the Asian country.

We are certainly experiencing a very complicated phase for the entire car market. An increase in the mass production of electric vehicles, as is already happening, is inevitable. price reduction of the latter. However, it will take time and it will be necessary to understand what direction all manufacturers will take in this ecological movement that is very volatile, but whose shapes are still vague and unclear. For the “arms” of this sector, however, it will be necessary to update and keep up with technological innovations.