French equipment manufacturers want to exclude Morocco from the European electric market

In a joint op-ed published this Monday, the leaders of these three companies are demanding that any manufacturer wishing to sell in the European Union be forced to assemble locally with European components. This proposal aims to establish an avowed protectionism against the competition from North America and Asia, where industries are largely supported by specific measures. The 75% rate demanded corresponds to the current level of components manufactured on the Old Continent for thermal vehicles.

This strategy deliberately excludes Morocco and Turkey, which is a direct blow to the economic models of Renault and Stellantis. These manufacturers are currently relocating part of their production to these countries in order to optimize their manufacturing costs. The equipment manufacturers also want a distinct treatment for batteries, in order to avoid this technology from concentrating all the efforts to the detriment of the rest of the European industrial fabric.

However, the sector remains divided on the way forward. While Renault advocates a more flexible threshold of 60% including thermal vehicles, other players such as Michelin fear that such measures could slow down innovation. The decision of Brussels, expected on January 29, will set the final local content rate and determine the allocation of national purchase bonuses, thus complementing the customs duties already imposed on Chinese electric vehicles.