Volkswagen CEO Urges Germany, France to Cooperate Against Chinese Auto Challenge

Volkswagen Group CEO Oliver Blume has urged Germany and France to strengthen their collaboration to address the growing challenge posed by China's automotive sector. Blume stated that it is not too late for European nations to act to improve the industry's competitiveness in the face of rising pressure from Chinese competitors.

Blume expressed support for European Union proposals aimed at reinforcing European industry, emphasizing that "Made in Europe" rules should reward the creation of genuine value within the continent. He indicated that Volkswagen is among the companies most affected by the pressure from Chinese brands and highlighted the company's plan for workforce reductions as part of a significant transformation.

The European automotive industry faces substantial competitive pressure, compounded by high energy costs and low demand due to inflation. Blume stressed that companies investing and developing in Europe should receive clear benefits, and that firms selling within Europe should compete on a level playing field, creating jobs and value.

Blume's remarks precede the Paris Motor Show, where the number of Chinese automotive brands exhibiting is set to reach a record high. Approximately 20 Chinese brands are expected to participate, doubling the number from the previous show, underscoring the expanding influence and rapid growth of Chinese automakers in the European market.