Europe's Delay in Electric Vehicles Threatens Major Plant Closures

Engineer Raafat Masrouga, a sales and marketing expert, warned that the manufacturing challenges facing the European automotive industry will escalate in the coming period, noting that European companies failed to anticipate how quickly consumers would shift toward electric vehicles and clung to traditional cars for too long.

China takes the lead in the EV race

During his interview on 'Arabety' radio program on Radio Egypt, Masrouga explained that Europe did not prioritize electric vehicle manufacturing, while China invested early in this sector and developed it at a rapid pace, giving it a clear advantage in global markets. He added that Chinese companies have built integrated supply chains for batteries and electric motors, enabling them to offer competitively priced electric cars with increasing quality.

Japan also falls behind

The expert pointed out that Japan also lagged in keeping up with this transition, citing one of the presidents of the largest Japanese car companies who viewed electric vehicles with disinterest before being forced to resign as market trends shifted. This stance reflects a major challenge facing the Japanese industry, which relied heavily on hybrid and conventional fuel technologies as its core strategy, causing it to lose market share in the rapidly growing electric segment.

Existential threats to European factories

Masrouga emphasized that the rapid evolution in electric vehicles, along with hydrogen fuel cell vehicles, will place several European companies before difficult challenges and may force some to shut down if they cannot keep pace with the technological revolution. He noted that the high costs of transitioning to electric production, combined with the lack of charging infrastructure in Europe, worsen the situation. He added that some major European factories may face tough decisions regarding production cuts or closure of traditional assembly lines if demand for internal combustion engine vehicles continues to decline.

The expert believes the current landscape sends a clear message to the global industry: companies that embrace change early and invest in modern technologies will be the sole winners in the electric vehicle race, while latecomers will pay a heavy price that could ultimately result in their complete exit from the market.