Chinese Automakers Build Cars in Europe to Dodge Isolationist Rules

Chinese automakers are building factories and supply‑chain hubs throughout Europe in advance of new local‑content rules that the EU is debating, allowing them to meet a “cars made for the continent” mandate before it is finalized. The move comes as Chinese makers seek a key growth market after facing a price war and falling sales at home, and it also gives European workers jobs that may be more modest than the EU hopes. Reuters notes that the companies are expanding their European presence ahead of any new regulations, and the bloc’s benefits could be limited because domestic automakers are already downsizing.

Stellantis, which has unused production capacity in Europe, chose to keep its plants running by leasing space to Chinese partners such as Leapmotor and Dongfeng and by adding its own low‑cost E‑Car program. CEO Antonio Filosa said the company would fill its underused factories with vehicles from Chinese OEMs, a strategy that contrasts with Volkswagen’s decision to close several plants. Stellantis’ approach keeps its production sites alive and generates revenue from the Chinese tenants, though it also lets its competitors assemble tariff‑free cars.

General Motors’ sales in China fell 24 % in the July‑September quarter, the fourth straight quarter of decline, as the country’s weak economy, higher fuel costs and a new electric‑vehicle sales tax dented demand. The automaker delivered 358,000 vehicles in that quarter, and its nine‑month sales dropped 21 % to about 1.07 million units. The slump mirrors a broader trend of falling demand among all import brands in the world’s largest auto market.

Sarfraz Maredia, Uber’s head of global autonomous operations, will leave the company after more than twelve years. He is set to take an executive role at an undisclosed company outside the transportation industry, according to an Uber spokesperson, and will depart on November 16. The move follows a series of leadership changes in Uber’s autonomy division this year.