CLEPA Urges EU to Lock In 75% European Vehicle Rule as China Parts Imports Hit €8.2 Billion
Updated
Updated · eurometal.net · Jun 19
CLEPA Urges EU to Lock In 75% European Vehicle Rule as China Parts Imports Hit €8.2 Billion
1 articles · Updated · eurometal.net · Jun 19
Summary
CLEPA pressed EU lawmakers before this week’s Council meeting to preserve the Commission’s stricter definition of a “European vehicle” and add incentives for domestic auto production under the Industrial Accelerator Act.
The suppliers’ group said 75% of parts in European-built vehicles are currently made locally, warning that broadening the calculation base without raising thresholds would weaken incentives to source components in Europe.
China’s auto-parts exports to the EU reached €8.2 billion in 2025, flipping the bloc’s bilateral trade balance in the sector from a nearly €7 billion surplus to a €0.7 billion deficit in five years.
CLEPA warned the EU could lose up to 350,000 jobs by 2030 without stronger protections, and called for tighter coverage of components, calibrated FDI thresholds in battery and EV chains, and closer cooperation with the UK and EFTA.
As the EU builds a fortress around its car industry, are European consumers about to pay the price?
With China's subsidized cars flooding the market, is the EU's new industrial plan too little, too late?
Can Europe’s 75% Local Content Rule Save Its Auto Industry? Jobs, Trade Risks, and the Race for Industrial Sovereignty
Overview
Europe’s automotive sector is facing a major trade crisis, with over 100,000 jobs lost in car parts manufacturing and significant revenue declines for German car companies. This downturn is driven by unfair competition from foreign players, including distorting subsidies and price dumping, which has increased Europe’s dependence on countries like China and the USA. In response, there is a strong push for a 'Made in Europe' policy and strict local content rules. Industry leaders, especially CLEPA, are urging the EU to link incentives and regulations to the use of European-made components, aiming to restore competitiveness and protect jobs.