Fight against the flood of cars
Punitive tariffs? Pierer would rather talk to China
Europe is clearly falling behind its global competitors - this was the verdict of the top managers of Upper Austrian industry in Linz on Tuesday. Stefan Pierer also expressed his concerns. The KTM owner and President of the Federation of Austrian Industries spoke about cost disadvantages and his concerns about tariffs on e-cars from China.
He recently had to cut costs at his group of companies around motorcycle manufacturer KTM; his name is loudly associated with the search for investors at Rosenbauer: Stefan Pierer.
On Tuesday, the entrepreneur invited local top managers to a reception in the Kepler Hall at the JKU in Linz as President of the Federation of Austrian Industries, where there was much discussion.
The European Council recently clearly emphasized the urgent need for a European Competitiveness Deal aimed at improving Europe's competitiveness. This is a first step, but words alone will not get Europe's economy back on track.
Markus Beyrer, Generaldirektor BusinessEurope
"Europe is still a power, but if we play games for much longer, it soon won't be," said Markus Beyrer, Director General of BusinessEurope. "The framework conditions for Europe have tightened dramatically," confirmed Pierer, who spoke of the enormous cost pressure: on personnel - and on energy.
"Energy costs have taken a hit"
"Energy costs have skyrocketed compared to other parts of the world," said Pierer, looking towards Asia. "Particularly in the vehicle and mechanical engineering industry, we are facing enormous competition from China, which has caught up in terms of quality and productivity - with significantly lower costs and considerably higher annual working hours. We are no longer better because we are more expensive. China is at least on a par technologically and is flooding us with exports."
"There's no need to be surprised ..."
What does he think about the EU's planned tariffs on e-cars from China? "Tariffs are never good. Products become more expensive for the end consumer. If there are tariffs, we shouldn't be surprised if large German car manufacturers are then perhaps left out in the cold." His advice: "There are massive subsidies in China, that won't change, but talking will bring people together."
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