SEAT and Cupra boss calls for fairer competition with Chinese carmakers
Car changing is a big deal
SEAT and Cupra CEO Markus Haupt says attracting Chinese manufacturers to Europe is the fairest way to tackle growing competition, warning that lower production costs and government incentives put European carmakers at a disadvantage.
The chief executive of SEAT and Cupra, Markus Haupt, has called on Chinese carmakers to manufacture more vehicles in Europe, arguing that local production is the best long-term solution to growing competitive pressure.
Speaking to Carwow at the Paris Motor Show, Haupt said SEAT and Cupra support free trade but believes European manufacturers face an uneven playing field when competing against vehicles produced in China.
“The only lasting solution is to attract Chinese manufacturers to produce in Europe,” Haupt said. “We strongly support a quick decision on the ‘Made in Europe’ approach because we believe that is the right way to regulate the entry of Chinese manufacturers.”
Remember, you can buy a brand new or used car right here on Carwow. And you can sell your car, too. We’re here to help you through every step of your car-changing journey.
Chinese carmakers have the upper hand
Chinese brands such as Jaecoo and Omoda have been expanding across Europe, offering increasingly competitive electric and hybrid vehicles. This is putting pressure on established manufacturers, including the Volkswagen Group and its brands, such as Cupra, to reduce costs, remain competitive and adapt to changing customer demands.
Haupt argued that Chinese manufacturers can offer lower prices than European competitors because they benefit from government support, cheaper labour and operating costs, efficient supply chains, and large-scale production.
“The possibility of making the cars in Europe is now being discussed,” he said, although no final decision was announced.
The issue is particularly relevant to Cupra because its Tavascan model is manufactured in China and exported to European markets.
The electric SUV faced an additional 20.7% import duty on top of the standard 10% EU import tariff. However, earlier this year, the European Commision spared the Tavascan from this extra tax, so long as the Volkswagen Group adheres to an agreed minimum import price.
Haupt’s position is that encouraging more manufacturing from Chinese brands in Europe could help create fairer competitive conditions while attracting investment and supporting the region’s automotive industry.
Haupt calls for simpler automotive rules
Haupt also criticised differences between European markets, saying the same vehicle technology can meet regulations in one country but fail to comply in another.
He argued that policymakers needed to find a balance that works for both manufacturers and customers, describing regulation as one of the industry’s biggest challenges.
“For me, the answer is less regulation, but the right regulation,” Haupt said.
As Chinese brands continue to expand across Europe, Haupt calls for an open market while emphasising the need to ensure European manufacturers can compete on a level playing field.
Car change? Carwow!
Looking for a new set of wheels? With Carwow you can sell your car quickly and for a fair price – as well as find great offers on your next one. Whether you’re looking to buy a car brand new, are after something used or you want to explore car leasing options, Carwow is your one stop shop for new car deals.
Want to see the latest car content first? Add Carwow as a preferred source here. Click here to follow us on Reddit, where you can keep up-to-date with all the latest news, reviews, advice guides and videos.