The European Association of Automotive Suppliers has urged the European Commission to prioritize industrial sovereignty and fair competition, warning that Europe’s automotive supply chain is under growing pressure from subsidized Chinese competition.
Automotive suppliers account for around 75 percent of a vehicle’s total value and play a central role in Europe’s industrial ecosystem. However, CLEPA said the sector is increasingly exposed to foreign subsidies, price dumping, state-backed overcapacity and unilateral trade measures, placing European manufacturers at a structural disadvantage.
The association highlighted a sharp deterioration in trade flows, noting that EU imports of automotive components from China reached €8.2 billion in 2025, reversing a nearly €7 billion surplus five years earlier into a €0.7 billion deficit. CLEPA warned that rising dependence on low-cost imports could undermine Europe’s innovation capacity and industrial base.
A study by consulting firm Roland Berger estimates that up to 350,000 jobs could be lost by 2030 if corrective measures are not taken.
CLEPA called for upcoming EU initiatives, including the Industrial Accelerator Act, to link public procurement, subsidies and incentives directly to European value creation. It proposed defining a “European vehicle” with at least 75 percent local content, alongside phased local-content thresholds for strategic technologies such as electric powertrains.
The group stressed that strengthening regional supply chains is critical to maintaining technological sovereignty as Europe transitions toward electric and digital mobility.
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