The European automotive industry's slowdown has led to a sharp increase in job losses at car part suppliers in 2024, raising concerns about the sector's future.
Job losses at European car part suppliers more than doubled in 2024 as the slowdown in the continent’s automotive industry hit the fortunes of its manufacturing supply chain . Analysis from the European Association of Automotive Suppliers (Clepa) for the Financial Times showed that more than 30,000 jobs had been cut across the industry in 2024, compared to just over 15,000 in 2023.
Job creation has also slowed and there have been more than 58,000 net job losses across the industry in Europe since 2020. Businesses ranging from French tyremaker Michelin to German manufacturer Bosch announced thousands of job cuts in the past year as sales of new vehicles by European producers have steadily fallen, leaving suppliers with excess capacity and little prospect of a rebound in sales. While larger companies have cut jobs and closed plants, some smaller businesses have been forced into bankruptcy or filed for insolvency. “If there is no more growth for European manufacturers, there is also no more growth for their equipment makers,” said Alexandre Marian, a director at consultancy AlixPartners. According to Clepa, car part suppliers directly employ about 1.7mn people in the EU. The decline in demand has followed the Covid-19 pandemic, war in Ukraine and the subsequent inflation. These have dented the competitiveness of European industries at a time when Chinese rivals are pushing to increase market share. “Our estimate is that the little growth that we can have on the European market will be taken by the growth of imports, especially Chinese ones,” said Marc Mortureux, director-general of France’s Automotive & Mobility Industry Platform (PFA) industry body. While European suppliers were trying to work with local auto groups in China, the big concern was that Chinese brands would eventually assemble vehicles in Europe but with parts from China and other countries, he adde
Automotive Job Losses European Economy Supply Chain China
United Kingdom Latest News, United Kingdom Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
European Car Industry Struggles as Shift to Electric Vehicles IntensifiesAcross Europe, car companies are cutting jobs and shutting factories, raising questions about their future. The shift from petrol and diesel vehicles to electric vehicles is causing significant disruption in the global automotive industry, particularly impacting developed economies. This transition not only threatens carmakers but also jeopardizes high-skilled and well-paid manufacturing jobs.
Read more »
Trump Tariffs Threaten European Car IndustryIncoming U.S. President Donald Trump's planned tariffs on goods from China, Canada, and Mexico could have a devastating impact on Europe's already struggling car industry.
Read more »
Woman seriously hurt as car driven at crowd in Leeds pub car parkA man has been arrested on suspicion of attempted murder
Read more »
Nikolai Lugansky at the Wigmore Hall was part gorgeous, part slapdashThe Soviet piano prodigy played Mendelssohn, Chopin and Wagner - the audience was ecstatic, but it was an uneven performance
Read more »
Shock moment £70k luxury car explodes in massive fireball at shopping centre car park metres from...Moment luxury motor bursts into flames in shopping centre car park
Read more »
Car buying service at Johnstone supermarket given green lightPlanning permission granted for We Buy Any Car pod in Morrisons car park in Napier Street.
Read more »