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14.10.2025
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Bloomberg: competition with China may lead to the closure of eight car factories in Europe

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European automakers may close a number of enterprises due to lower demand and growing pressure from Chinese companies, Bloomberg reports.

According to the publication, the average load of car plants in Europe does not exceed 55%, while profitability requires at least 75%. The worst situation is observed at the Stellantis concern, whose enterprises in the region, including those producing Alfa Romeo cars, are operating at only half capacity. Experts predict that the share of Chinese brands such as BYD could reach 10% of the European market by 2030, compared to the current 5%.

The closure of enterprises in Europe is complicated by bureaucratic procedures and significant costs: according to AlixPartners, the liquidation of a large plant with 10,000 employees costs € 1.5 billion and takes up to three years. Already, automakers Volkswagen and Stellantis are suspending the operation of some sites amid weak sales and the delayed recovery of the industry after the pandemic.

According to Le Monde, the Chinese car industry has consolidated its leadership in the global market thanks to the development of electric vehicles and hybrids. In 2024, 31 million cars were sold in China, more than in the United States and the EU combined, which allowed China to become the largest exporter of cars in the world.