Ola Källenius, the head of Mercedes-Benz and president of the European Automobile Manufacturers’ Association (ACEA), has warned that excluding the UK from the EU’s “Made in Europe” legislation would be a “deliberate choice” by EU leaders to “hurt” the car industry across the bloc. Mr Källenius stated that such a move would “weaken the industry on both sides”.
The legislation, also known as the Industrial Accelerator Act (IAA), aims to protect local industry by countering competition from outside the EU, primarily China. Political leaders are hoping to reach an agreement on the IAA in the coming weeks, with EU leaders aiming for a political agreement on the current text by December.
Andy Burnham has been lobbying for the UK's inclusion in the legislation, facing resistance particularly from France. The prime minister intends to raise the issue at the UK-EU summit on 20 November. Meanwhile, the ACEA is also seeking an urgent suspension of plans to introduce 10% tariffs on UK electric vehicles (EVs) imported to the EU, and EU EVs exported to the UK, with a deadline in less than three months.