Innovation and trade key to growth, says auto industry body

Mr Ghosn, who is also Chairman and CEO of Renault, said that confidence was starting to return to European markets, predicting that growth could be sustained alongside Europe’s recovery.

Ghosn: “As we begin a new chapter in EU policy making, our industry is making three concrete recommendations to consolidate this growth and to strengthen our global competitiveness. These are to drive innovation, to foster growth through international trade, and to build a supportive regulatory framework.”

The auto industry is the number-one R&D investor in Europe – ahead of the pharma and technology industries. “We need the flexibility to continue driving innovation in our priority areas of environmental performance, safety and connectivity,” explained Mr Ghosn. “To this end, we need policies and regulations that encourage rather than restrict innovation, and that are technology-neutral.”

In the light of ongoing free trade negotiations with Japan and the United States, Mr Ghosn called for a comprehensive approach to trade policy that covers not only tariff elimination, but also the removal of non-tariff barriers and regulatory cooperation. “Our business model is based on free trade — free trade that is balanced, fair and reciprocal, providing impetus to produce for both European and International markets,” he said.

In order to improve the overall regulatory framework for the automotive industry – which is one of the most regulated sectors in Europe – Mr Ghosn called for impact assessments to be carried out systematically whenever proposals are drafted or legislation is reviewed, and for realistic lead times for any proposals affecting the industry. 

Mr Ghosn was speaking shortly after the European elections on the occasion of ACEA’s annual general meeting, which convenes the CEOs of Europe’s main motor vehicle manufacturers.

“Europe’s policy makers and industry leaders need to work together to build the right conditions for growth, jobs and investment.  Together, we can ensure a future in which Europe’s industry is sustainable, and its citizens are prosperous and mobile. ACEA will contribute constructively to policy discussions with the new Parliament and Commission so we can help turn this vision into reality.”

ACEA’s policy recommendations are laid out in its new ‘Manifesto for a Competitive European Automobile Industry’, published today.