The European Commission has launched an action plan for the European automotive industry to address the sector’s most pressing challenges, including its contribution to the bloc’s climate transition. “There is so much untapped potential at the global market, when it comes to innovation and clean solutions,” said commission President Ursula von der Leyen. “We will promote domestic production to avoid strategic dependencies, especially for batteries production. We will stick to our agreed emissions targets, but with a pragmatic and flexible approach. Our mutual aim is a sustainable, competitive, and innovative car industry in Europe that benefits our citizens, our economy, and our environment.” The action plan includes establishing a European Connected and Autonomous Vehicle Alliance of Europe’s automotive stakeholders to shape the development of next-generation vehicles and related software and digital hardware. In addition, the commission will further develop the regulatory framework for autonomous vehicles, supported by joint public-private investments of around €1 billion (US$1.08 billion). To maintain a domestic production base, the commission has also pledged €1.8 billion toward its supply chain for battery raw materials.
