Cheaper imports vs. EU building costs - VW CEO criticizes increasing expenses

Car makers operating in Europe's traditional automotive manufacturing hubs, including Germany and the UK, are expressing concerns about the expenses associated with developing and producing cars and automotive technology locally. They are particularly worried about the competition posed by cheaper and more profitable Chinese electric cars.

Thomas Schaefer, the head of the Volkswagen brand, stated during the recent Munich mobility show that they are eager to invest in technology, batteries, and chips. However, he also pointed out that Europe is lagging behind in this game. Schaefer specifically mentioned battery plants as an example where the high costs are obstructing their plans to bring key investments onshore as electric vehicles (EVs) continue to gain momentum.