French President Emmanuel Macron inaugurated the 90th Paris Motor Show against the backdrop of a significant crisis facing French and European automakers. The industry is grappling with a severe decline in vehicle registrations across France and the EU, with new car sales reaching a 20-year low. This downturn has led to production halts at Michelin and potential factory closures by Stellantis.
Macron emphasized the fierce competition posed by Chinese electric vehicles flooding the European market. In response, he called for a unified European strategy and proposed the implementation of EU tariffs on these imports to protect local manufacturers. The French government plans to further discourage combustion engines with sanctions and reduce bonuses for electric vehicles in its 2025 budget.
The crisis highlights the necessity of developing a robust European plan to ensure fair competition and facilitate the transition to sustainable vehicle production. As the automotive industry navigates these turbulent times, Macron’s call for cohesive action reflects the urgency of addressing these challenges and safeguarding European manufacturing interests.
