Will all those Chinese brands still be there? We will see.
We recently spoke with Michael Cole, CEO of Hyundai Motors Europe, about his brand’s future plans, whether there will also be small, affordable EVs from Hyundai and whether the European climate goals are achievable. European suspicions of state aid for Chinese cars were also discussed. Definitely a taste of that.
The high purchase price is one of the inhibiting factors in the transition. Are the possible import duties on Chinese cars that Ursula von der Leyen of the European Commission insinuated such a good idea?
“We believe in open competition and have always been against protectionism. We are now encountering such a problem in the United States, where, due to the Inflation Reduction Act, cars that we now ship to the US are excluded from the subsidy. If there are indications that the playing field is not fair, then this must be investigated. We would not grant any advantages to a European manufacturer either. If there are things that are not fair, and I emphasize if, because I do not know what the investigation will reveal, then something happens. We just want an open market and then it cannot be the intention that brands enter Europe thanks to benefits in the form of government support, for example.”
Apart from the alleged state aid, how do you view these new brands?
“Hyundai went through the same thing. We came in and were thwarted, after which we started to do very well. Competition is there and always will be, especially in the car industry. A long time ago I worked for Ford in England. That brand had such a a 35 percent market share and if you added the five largest brands together, you had 80 percent of the market. Now, if you wanted to collect 80 percent in almost every market in the industry, you would soon end up with about twenty brands. “Competition is part of life and keeps you on your toes. We are never afraid of competition. Moreover, we have established ourselves as a volume and quality brand in Europe, with a matching service level and dealer network. That gives us the confidence to defend our position.”
China is the new Korea?
“We were the last economy to enter Europe on a large scale. Now the Chinese are doing it. There are so many different brands. Will they all still be there in a few years? We’ll see.”
You can read the full interview with Michael Cole soon in AutoWeek.
– Thanks for information from Autoweek.nl