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Europe Daily Bulletin No. 9361
GENERAL NEWS / (eu) eu/industry

Commission tables strategy for sustainable development in European automobile industry

Brussels, 07/02/2007 (Agence Europe) - Concurrently with the adoption of the revised strategy to reduce cars' CO2 emissions (see other news item), the Commission on Wednesday adopted an exhaustive strategy for sustainable development in the European automobile industry. With its dual objectives of enabling the industry to continue to produce vehicles in a sustainable manner at a price which is affordable for consumers, and strengthening its competitiveness while still respecting environmental measures, the integrated strategy tabled by the Commission covers several areas such as reducing administrative burdens, environmental protection, road safety, foreign trade and markets and R&D. Representing almost 3% of the EU's GDP and 7% of employment in the manufacturing sector, the automobile industry is, in effect, an essential pillar of the European economy.

The European automobile sector is currently characterised by fierce competition on price, the high cost of raw materials and energy, and the importance accorded to managing costs and restructuring production processes. As part of its policy to legislate better and meet the challenges of more fierce and widespread global competition, the Commission in 2004 set up a high level group, CARS 21, bringing together representative of the main stakeholders (manufacturers from the sector, trade unions, NGOs, Member States, Parliament and Commission) to draw up recommendations on the policies to pursue in order to establish a competitive regulatory framework for the automobile sector of the 21st century (EUROPE 8866). Entitled “Commission position on the final report of the high level group CARS 21” (the CARS 21 group's recommendations were released in December 2005, see EUROPE 9087), the Commission communication offers Europe's decision-makers some orientations for the future European policy for the automobile industry, which will rest on the following pillars:

- reducing administrative burdens. Following the recommendations of CARS 21, the Commission proposes replacing 38 Community directives with the international regulations of the United Nations Economic Commission for Europe (UNECE) on, notably, tyres, safety glass, anti-fog windscreens and safety-belts. The industry would therefore be able to use single texts which are valid all over the world. The Commission also proposes instituting automatic and virtual control procedures for 25 Community directives and UNECE regulations to reduce the costs of conformity and make procedures less lengthy and costly;

- reducing CO2 emissions. The Commission's strategy is based on an integrated approach which includes not only engine technology but also technological improvements - such as setting minimum energy requirements for air-conditioning systems, setting maximum resistance limits for tyres and the use of speed change indicators - and increased use of biofuels. It also encourages additional efforts to be approved by the Member States regarding traffic management, and improving driver behaviour and road infrastructure;

- road safety. The Commission stressed that an effective road safety strategy is based on the interaction of improvements in the areas of vehicle technology, road infrastructure, driver behaviour and the application of regulations. It therefore proposes 11 new measures, three of which would make the following obligatory: the use of headlights even in daylight hours; the inclusion of an electronic stability control system in vehicles; the inclusion of safety-belt reminder measures. Among the 11 measures it also proposes to modify the requirements of phase 2 of directive 2003/102/EC on pedestrian protection and improve the cross-border application of fines penalising infractions of the highway code committed in another Member State. Furthermore, it invites the Member States to improve further on the application of anti-drink-driving measures, respect for speed limits, use of helmets when riding motorcycles and respecting the obligation to wear a seatbelt;

- foreign trade and markets. The Commission proposes to evaluate the possibility of using bilateral trade agreements, alongside multilateral negotiations, particularly in Asia, in order to improve access to markets. It highlights in particular the importance of obtaining conditions relating to direct investments abroad and establishing local production practices in third countries which are fair. Furthermore, the Commission highlights the need to get intellectual property rights applied at global level;

- R&D. The Commission particularly stresses the production of non-polluting renewable fuels and clean vehicles and the development of “intelligent” roads and vehicles.

The Commission will carry out a mid-term review of the recommendations drawn up by CARS 21 during 2009 in conjunction with all the stakeholders. (eh)

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