Renault Spain President: Chinese Brands Cannot “Build Four Sheets with Wheels” in Europe

European auto industry executives are pressing for a more equitable regulatory framework for Chinese car manufacturers expanding rapidly into the European market.

Josep Maria Recasens, President of Renault in Spain and the Association of Automobile and Truck Manufacturers (ANFAC), argued that current market dynamics favor Chinese companies unfairly. He highlighted a significant contrast with the stringent conditions European brands faced when entering China decades ago.

Recasens stated that European companies like Volkswagen, Peugeot, Citroën, and Renault were compelled to form joint ventures with local Chinese firms to operate in the country. He recalled that European manufacturers were told, “You will enter, but under these conditions.”

He criticized the current situation, saying Chinese companies “cannot come here and build four plates with wheels and seats with little added value.” Recasens urged Chinese manufacturers to demonstrate a commitment to bringing high-value products and technologies to Europe.

The executive called for “creating order at a European level” and suggested that tariffs could serve as a mechanism to “equalize what is not equitable, to balance the scales.” He noted that Europe has “opened the whole field and they are coming in from all sides.”

Chinese brands, including Chery, Omoda, Jaecoo, Ebro, and the new brand Lepas, have established production in Europe, notably at the Zona Franca factory in Barcelona. This expansion echoes a historical trend where early Chinese models, like the first Chery, reportedly resembled European designs such as the first-generation Seat Toledo, albeit with older engine technology.

Recasens underscored the automotive sector’s critical shift toward electric vehicles (EVs), calling them the “only growth vector.” He emphasized the need to accelerate the transition, stating, “The combustion car will have fewer sales and, for everything we built around it, we need to accelerate to put it at the service of the dominant technology of the future.”

He expressed concern about job losses occurring “today” rather than in the distant future. Recasens also called for clarity on short-term policy measures for 2026 and 2027, ahead of any potential review of the 2035 ban on new combustion engine car sales.

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