Volkswagen CEO Supports Plans to Strengthen European Industry

Volkswagen (VW) CEO Oliver Blume announced that he supports the European Union's (EU) proposals to strengthen the local industry. Speaking at the car show in Paris, Blume emphasized that the European automotive sector needs to be able to compete "under comparable conditions" with Chinese rivals. He stated that the new "Made in Europe" regulations should reward real value creation in Europe.

Blume expressed that the rapid spread of low-cost Chinese brands in the European market has led to crises in many sectors. Volkswagen, one of the European companies most affected by this situation, announced a major transformation program with plans to lay off up to 100,000 employees. Blume noted that Europe is facing challenges such as high energy costs and rising inflation, which have seriously impacted the European automotive industry.

The EU's proposals known as the "Industrial Accelerator Law" aim to limit public tenders and subsidies to products whose materials and production processes are largely carried out in Europe. Blume emphasized that companies making significant investments and contributing to development in Europe should see clear benefits. He also stressed that Chinese firms wishing to create jobs and value in Europe should compete under similar conditions.

Volkswagen participated in the Paris car show for the first time in 20 years, introducing the new electric ID Tiguan model. Blume also highlighted the close relationship between France and Germany at this event. The company's Chief Financial Officer Arno Antlitz stated that layoffs would help increase their economic strength and improve profitability. Additionally, Volkswagen aims to reduce the number of models worldwide from 150 to 75 to simplify the production process.