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automotive industry crisis: unemployment risk and electrification transition

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analysis of the root causes of the crisis in the automotive industry:

  • the fuel vehicle market is declining: despite the growth in electric vehicle sales, the traditional fuel vehicle market still faces challenges as consumer demand for fuel vehicles continues to decline.
  • pressure of electrification transformation: automotive companies are actively promoting electrification transformation, however, their development speed and cost control still face challenges.
  • competitive pressure from china: the rise of china's automobile manufacturing industry has created tremendous competitive pressure on the global automobile market.

french auto industry leaders said the industry will face unemployment risks in the next five years, especially as the decline of the traditional fuel vehicle market intensifies, and unemployment is expected to rise further. volkswagen group has begun taking action to close german factories, and stellantis ceo tavares has also said that it is necessary to avoid repeating the "mistakes of competitors" and strive to balance the sales prices of traditional gasoline models and electric vehicles to meet the challenge.

opportunities facing the automotive industry:

  • new technology development: the application of new batteries, autonomous driving and intelligent technologies will bring new opportunities and development directions to the automotive industry.
  • new energy market growth: the electric vehicle market is growing rapidly around the world, creating new opportunities for businesses.
  • policy support: governments around the world are continuously deepening their promotion and subsidy policies for electric vehicles, which will drive the further development of the electric vehicle market.

conclusion:

the automotive industry is in a period of great change, facing huge challenges and opportunities. in order to cope with future market changes, automotive companies need to actively transform and upgrade, and seize new technological development opportunities to stand out in the fiercely competitive market.