The decline of the big car industry: another car manufacturer flees Europe
- March 9, 2023
- 0
The news from the European car industry is one better than the other: either BMW quietly withdrew from the islands of the once great empire, now Volkswagen is
The news from the European car industry is one better than the other: either BMW quietly withdrew from the islands of the once great empire, now Volkswagen is looking for a better life in the New World. Yes, you heard that right: the German car giant is preparing to move to the US. Moreover, this process has already begun. And in more detail – in the material of the portal “AvtoVzglyad”.
The Volkswagen group, having “eaten up” the reality of European business, decided to move to a quieter haven, where the state can provide subsidies and electricity is available to manufacturers. The construction of a new battery factory in Eastern Europe has been “suspended” (read closed): investments will be made in a similar site in the United States.
The main reason is the privileges that Americans guarantee to high-tech and environmentally friendly industries. The Financial Times quotes the following statement: “The decision was made after it was estimated that the company could receive $10 billion in stimulus from the United States for the green technologies America is using to extort European companies.”
Electric vehicles are a highly profitable area, which today is the flagship of the entire industry. It’s no secret that the “electric train” is technologically much simpler than a conventional car with an internal combustion engine, but numerous marketing and political processes have for the most part made it desirable and, due to high demand, extremely expensive. In other words, there is a significant profit in every electric car sold. And things like that make Europe come to the fore.
The AvtoVzglyad portal has already written about the exodus of the BMW electric plant from the UK, opening the era of the “great move”. Now Volkswagen. Of course, the governments of the countries of the Old World, which for decades have created conditions for car manufacturers, will consider such a maneuver a betrayal, but business is business.
Today, Americans need complex and technological production, they are ready to offer money and benefits, while in Europe they only need inflation and high taxes. We have to run, especially since a branch of the garden over the ocean blooms with much greater promise of “fertilizer”. How else to make America great again?
The largest market in the world, China, is not far behind. Having bought all the engineers and designers in Europe, manufacturers from the Middle Kingdom will soon take away the last remnants of their former greatness – brands. As it has already happened with Volvo.
The ‘reversal of polarity’, in which the full transition to electric vehicles was postponed indefinitely and production of dirty heavy fuel engines resumed, is therefore a necessary measure. Because it is only possible to talk about ecology with a budget surplus and almost zero inflation, and such conditions are not expected in the Old World in the coming years. On the contrary: the flight of manufacturers is only the beginning of another great depression.
Photo: www.electrive.com
The Volkswagen group, having “eaten up” the reality of European business, decided to move to a quieter haven, where the state can provide subsidies and electricity is available to manufacturers. The construction of a new battery factory in Eastern Europe has been “suspended” (read closed): investments will be made in a similar site in the United States.
The main reason is the privileges that Americans guarantee to high-tech and environmentally friendly industries. The Financial Times quotes the following statement: “The decision was made after it was estimated that the company could receive $10 billion in stimulus from the United States for the green technologies America is using to extort European companies.”
Electric vehicles are a highly profitable area, which today is the flagship of the entire industry. It’s no secret that the “electric train” is technologically much simpler than a conventional car with an internal combustion engine, but numerous marketing and political processes have for the most part made it desirable and, due to high demand, extremely expensive. In other words, there is a significant profit in every electric car sold. And things like that make Europe come to the fore.
The AvtoVzglyad portal has already written about the exodus of the BMW electric plant from the UK, opening the era of the “great move”. Now Volkswagen. Of course, the governments of the countries of the Old World, which for decades have created conditions for car manufacturers, will consider such a maneuver a betrayal, but business is business.
Today, Americans need complex and technological production, they are ready to offer money and benefits, while in Europe they only need inflation and high taxes. We have to run, especially since a branch of the garden over the ocean blooms with much greater promise of “fertilizer”. How else to make America great again?
The largest market in the world, China, is not far behind. Having bought all the engineers and designers in Europe, manufacturers from the Middle Kingdom will soon take away the last remnants of their former greatness – brands. As it has already happened with Volvo.
The ‘reversal of polarity’, in which the full transition to electric vehicles was postponed indefinitely and production of dirty heavy fuel engines resumed, is therefore a necessary measure. Because it is only possible to talk about ecology with a budget surplus and almost zero inflation, and such conditions are not expected in the Old World in the coming years. On the contrary: the flight of manufacturers is only the beginning of another great depression.
Source: Avto Vzglyad
Donald Salinas is an experienced automobile journalist and writer for Div Bracket. He brings his readers the latest news and developments from the world of automobiles, offering a unique and knowledgeable perspective on the latest trends and innovations in the automotive industry.
