In just a few years, the automotive world has changed radically.

In China, Europe and some emerging countries, electrification has become a reality. The world can rejoice at this development, one that is in line with the crucial green transition.

On the industrial front, both the design and manufacture of vehicles have been revolutionised. We are now seeing big tech, led by China[1], becoming key manufacturers and actors on the scene.

On the commercial front, the success of Chinese brands is undeniable: their share of car registrations in China has doubled[2], and in Europe, their entry is disrupting the market and unsettling established brands. But it is not just carmakers that are feeling the heat; equipment manufacturers are also under attack from their Chinese counterparts.

In social terms, these developments represent high stakes for Europe.[3]

Uses are also changing. For example, robot taxis are now operational in several Chinese cities.[4]

It is rather facile to attribute all this Chinese success exclusively to subsidies and unfair competition. The Chinese have learned, and they are revolutionising the industry.

Against this backdrop, the 120th anniversary of the European car industry takes on a bitter taste. There appears little cause for celebration.

But the time for shock and surprise has passed; now, it is time to wake up.

All is not lost for those actors willing to take on this immense technological, industrial, political and human challenge. It calls for clarity of vision, a strategic direction, consistency in action, a stable and industry-friendly regulatory framework, private and perhaps public financing. But above all, it requires collective will and effort. It is up to us to make the automotive industry a major European ambition for the next decade.

The European car industry has weathered many storms in its history. There is no doubt it will rise again. But the time for change is now!

[1] Xiaomi, Huawei

[2] From 36% in 2020 to a cumulative 69% by the end of August 2025 (source CPCA).

[3] The automotive industry accounts for 14 million direct and indirect jobs in Europe.

[4] Robot taxis are in commercial operation in Beijing, Chongqing, Guangzhou, Hefei, Shanghai and Shenzhen, and Wuhan, China’s historical automotive capital, is leading the way.