European auto industry faces massive job and value losses

automotive industry job losses supply chain shift European economy Chinese manufacturers

The European automotive industry faces significant economic and structural risks due to technological shifts and global competition. According to the ELAB2040 study, the transition toward electric vehicles and current EU regulations could lead to the loss of approximately 726,000 powertrain production jobs by 2040, representing 45 percent of the sector's workforce. Furthermore, the EU could see a reduction in value added of up to 95 billion euros out of a total 250 billion euros. Germany is expected to be disproportionately affected, with 64 percent of the threatened value added, totaling 54.2 billion euros, located within the country.

Simultaneously, a shift in global market dominance is occurring. A study by Strategy& indicates that Asian suppliers now control nearly 49 percent of the global automotive supplier market. Chinese producers have significantly expanded their presence, growing their market share from 5 percent in 2015 to 14 percent last year. In contrast, German suppliers are struggling; their market share dropped from 26 percent in 2015 to 23 percent last year. The economic gap is widening, with German suppliers' projected profit per employee in 2025 being less than one-seventh of that seen in China.

Entities

China · European Union · Germany · PwC · Strategy&

Claims

What the coverage asserts, and how many sources carry each claim.

[○ 1 SOURCE] Chinese producers increased their market share from 5 percent in 2015 to 14 percent last year. www.berlin-mitte-zeitung.de
[○ 1 SOURCE] Asian suppliers controlled nearly 49 percent of the global automotive supplier market last year. www.berlin-mitte-zeitung.de
[○ 1 SOURCE] German suppliers' market share fell from 26 percent in 2015 to 23 percent last year. www.berlin-mitte-zeitung.de
[○ 1 SOURCE] The EU could face a loss of 95 billion euros out of 250 billion euros in total value added if current regulations persist. www.focus.de
[○ 1 SOURCE] By 2040, Europe could lose approximately 726,000 powertrain production jobs, representing 45 percent of the sector's workforce. www.focus.de
[○ 1 SOURCE] Germany faces a potential loss of 54.2 billion euros in value added, accounting for 64 percent of the total threatened EU value. www.focus.de
[○ 1 SOURCE] Profit per employee for German suppliers is projected to be 4,190 euros in 2025, which is less than one-seventh of the Chinese value. www.berlin-mitte-zeitung.de

Sources

Autoindustrie: Verbrenner-Aus gefährdet 726. 000 Jobs in Europa [www.focus.de]

21 days ago

Asiatische Automobilzulieferer greifen nach weltweiter Marktführerschaft [www.berlin-mitte-zeitung.de]

22 days ago

Asiatische Automobilzulieferer greifen nach weltweiter Marktführerschaft [www.tempelhof-schoeneberg-zeitung.de]

22 days ago