The Euro 7 regulations looms on the horizon as an event that will change everything in the automotive industry. Its entry into force was already extended last year due to the implications it had for brands, although there will come a time when it will come with its high restrictions. The point is that will affect more in Spain than in other countries of the European Union. Our nation is on the podium in terms of vehicle production and in recent times the national factories had focused on small and combustion cars, which will precisely be the ones that will be cut the most.
It is somewhat worrisome for the Spanish Association of Automobile and Truck Manufacturers (Anfac) and its general director did not hesitate to point out that the impact in relative terms is going to be higher on lower priced vehicles and that this is clearly going to harm the national industry. José López-Tafall pointed out that the cars in which the price factor is more relevant depending on the demand will fare worse and considers that the Euro 7 proposal has many risks. It also demands large investments by manufacturers to prepare your facilities for electrification.
From Anfac they are working with the Government so that modifications can be made during the Spanish Presidency of the European Council, which will be between July and December 2023. They want unity as a country to help adapt more logically and according to real needs. For example, they see the ban on combustion vehicles from 2035 as a “misinterpreted” measure. It is advocated for use of synthetic fuels or any other measure that could be adjusted. For example, hydrogen would also be contemplated, although it is an “open window” that will materialize from 2026.
Another issue that the general director of Anfac dealt with was the arrival of Chinese car brands and their low-cost electric vehicles. He said that all agents that help to “energize the market in a constructive way” are positive for the sector, although he is concerned that European environmental regulations reduce competition of products from here compared to those from Asia. As for the US Inflation Reduction Act (IRA), he also said that it could pose a flight risk for investments in Europe, although it will depend on how it is acted on.
Source: Europa Press
