Volkswagen s CEO warned this week that if leaders don't control energy costs, the EU will be practically unviable to make batteries for electric vehicles.
If we can't reduce energy prices in Germany and the EU, Thomas Sch fer wrote in a Monday LinkedIn post, investments in energy-intensive production or new battery cell factories in Germany and the EU will be practically unviable. He said that the value creation in this area will take place elsewhere.
An outline for industrial-politic cooperation between France and Germany last week fell short in crucial areas and does not address the proposed priorities, according to Sch fer. He lamented that Germany and the European Union are rapidly losing their attractiveness and competitiveness, while other countries such as China, Canada and the USA are forging ahead. He said that he was very concerned about the current development regarding investments in the industry's transformation. This needs to be prioritized unbureaucratically and quickly. He criticized outdated and bureaucratic state-aid rules, while the USA, with the Inflation Reduction Act, offers companies attractive incentives to invest in new plants and production. Sch fer wrote that the point is: We have no time to lose. The EU needs new investments in order to avert de-industrialization and to maintain Europe's attractiveness as a place for future technologies and jobs!