The European Automobile Manufacturers Association (ACEA), headquartered in Brussels, Belgium, has published its annual Automotive Industry Pocket Guide, which provides an overview of the European auto industry, including the latest sector-specific data on employment, vehicle production and sales, road safety, R&D, the environment and trade flows.
According to the ACEA, new data in its publication confirms that the automobile industry is a key pillar of the European economy, and as such, is vital to the wider post-COVID-19 recovery of the continent. The turnover generated by the auto industry represents over 7% of total EU GDP.
“Automobile manufacturers are unfortunately now facing very strong headwinds in the aftermath of the coronavirus crisis, which has hit our sector with an unprecedented force,” stated Eric-Mark Huitema, ACEA Director General. “In the interest of the economic health of the continent, we are calling on EU and national policy makers to urgently step up their political, economic and practical support to our industry.”
Huitema added, “It is time to turn words into actions, and to find pragmatic solutions that will help us weather the storm.”
The 2020–2021 edition of the Automotive Industry Pocket Guide includes the following data:
- The automotive ecosystem provides work to 14.6 million Europeans, representing 6.7% of total employment in the EU.
- With 2.7 million people working on the manufacturing of vehicles at 226 factories in the EU, the auto industry accounts for 8.5% of total manufacturing jobs in the region.
- Almost eighteen million vehicles were ‘made in Europe’ in 2019, representing 20% of global vehicle production.
- 5.6 million of these vehicles were exported around the world, generating a trade surplus of €74 billion for the EU last year.
- The auto industry is by far the biggest spender on R&D in the EU, investing €60.9 billion annually (+6.1% on the previous year), or 29% of the region’s total spending.
- Europe also leads the world when it comes to self-driving vehicles, responsible for a third of all global patent applications.
- There are 313 million vehicles in circulation on Europe’s roads today. Apart from ensuring that people and goods can move freely across the continent, these vehicles are a major source of government revenue, bringing in over €440.4 billion in taxes each year.
Despite this data, the ACEA notes how the European automobile industry currently finds itself in a difficult situation and explains how vehicle manufacturers had to shutter their development centres and production sites in the EU for an average of thirty working days during lockdown periods. This reportedly led to production losses of more than 2.4 million motor vehicles so far. Looking ahead, car sales are expected to contract by a record-breaking 25% in 2020.
Huitema concluded, “We stand committed to work with policy makers in Brussels and the EU member states to ensure that our sector can survive and recover – thereby protecting jobs, production and future investments.”