It is called the European Automobile Manufacturers’ Association – or Acea – and as the name suggests, it advocates (and represents before legislators) the interests of car manufacturers from the Old Continent. But despite the acronym, the representation risks, according to some, becoming less and less European. Especially if it were to open its doors to the Chinese giant Byd, which has formally applied to become a member.
BYD WANTS TO ENTER THE MAIN EUROPEAN CAR LOBBY
A necessary move, and as a formality it will be accepted, since Byd’s European branch, led by the Italian Alfredo Altavilla, will be a major market player, also intending to open some plants on EU soil (currently in Hungary) that will complement those strategically located at Europe’s doorstep, in Turkey.
The application Byd submitted to the Association has understandably raised more than one eyebrow, especially considering that so far European brands have played defensively against Chinese rivals. The EU itself has tightened the market by increasing tariffs on Chinese electric cars. For this reason, Byd’s arrival can be seen as an attempt by the Chinese to skew the composition of the group in their favor.
CHINA IS ALREADY PRESENT IN ACEA
A scenario that cannot be ruled out outright, but when considering it, other elements must be taken into account. First of all, the association currently represents 17 brands that do have factories on European soil, but some still have their brains and hearts elsewhere. To give a few examples, the Japanese Toyota, Honda, and Nissan, the South Korean Hyundai, and the American Ford sit at that table.
But above all, in a more or less covert way, Chinese interests were already being advanced by some of those present. Behind the Swedish Volvo, for example, are the Chinese of Geely, and they also hold a significant stake, over 9 percent, in Mercedes-Benz which, with Ola Kallenius, currently heads Acea. It should also not be forgotten that Geely controls “half” of the Smart brand, also shared with the three-pointed star, and the British brand Lotus, both of which are absent from Acea, and pursues strategic partnerships with Renault on the internal combustion front (the Horse division that was supposed to be a twin to Ampere, prematurely shut down by the new management).
Stellantis has acquired part of Leapmotor and founded a JV with the Chinese startup to export it worldwide, including Europe. And according to increasingly persistent rumors, it is ready to strike similar agreements with other brands, also from the Dragon, to let them use its currently struggling European plants that are under temporary layoff schemes. Volkswagen, meanwhile, has always had strong interests in China and unsurprisingly fought hard against the tariffs decided in Brussels.
In short, it can be said that a bit of China was already present in Acea. However, it is undeniable that with Byd’s entry, the balance now risks changing. And not in favor of the European carmakers.
