VW, Stellantis and Renault urge EU to set 70% ‘Made in Europe’ auto rule

Volkswagen, Stellantis and Renault – together accounting for roughly 60% of Europe’s car production – have sent a joint letter to members of the European Parliament and the European Commission calling for a new “Made in Europe” regulatory framework. The proposal asks that at least 70 % of a vehicle’s value be generated within the EU, covering the entire value chain from engineering and battery production to final assembly. The manufacturers argue that intensified competition from Chinese carmakers, persistent high energy and production costs, and a slump of about three million vehicle sales compared with pre‑COVID 2019 levels, threaten the sector’s competitiveness and jobs. They also seek targeted incentives for European battery production and more flexible rules for smaller electric cars, while urging the EU to delay current local‑battery‑cell mandates until 2030.

The European Commission is already examining proposals to strengthen the continent’s automotive industry, including the possibility of a “Made in Europe” label that could affect support programmes and incentives. The three firms stress that their demand is not protectionist but aimed at preventing the relocation of production outside the bloc and ensuring affordable, technologically advanced electric vehicles for European consumers.