HomeBusinessEurope's EV drive comes with environmental, social risks, Stellantis CEO says

Europe’s EV drive comes with environmental, social risks, Stellantis CEO says

PARIS: The European Commission’s technique to section out combustion engines in favour of electrical automobiles is a political selection that carries environmental and social dangers, Stellantis CEO Carlos Tavares mentioned in an interview with European newspapers.

Since merging Fiat Chrysler and Peugeot to create the world’s No 4 carmaker by manufacturing, Tavares has mapped out a €30 billion (US$34 billion) electrification plan that helped Stellantis shares surge greater than 60 per cent of their first yr.

“What is clear is that electrification is a technology chosen by politicians, not by industry,” he mentioned in a joint interview with France’s Les Echos, Handelsblatt, Corriere della Sera and El Mundo.

He added there have been cheaper and quicker methods of lowering carbon emissions.

“Given the current European energy mix, an electric car needs to drive 70,000 kilometres to compensate for the carbon footprint of manufacturing the battery and to start catching up with a light hybrid vehicle, which costs half as much as an EV (electric vehicle),” he mentioned.

He additionally mentioned a ban on thermal automobiles by 2035 in Europe means carmakers want to start out remodeling their vegetation and provide chains shortly.

“The brutality of this change creates social risk,” he mentioned.

In an in depth interview which touched on the assorted challenges Stellantis is dealing with, Tavares additionally nuanced his promise to not shut down vegetation in Europe.

“I generally hold on to the promises I make, but we also need to remain competitive,” he mentioned, citing particularly manufacturing prices in Italy which have been “significantly higher, sometimes the double of those at plants in other European countries,” primarily on account of “exorbitant” vitality costs.

Pointing to Rome, the place the federal government is working to deliver down industrial prices, he mentioned: “It takes some time for the measures to be implemented. We will discuss this again at the end of 2022.”

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