Germany is temporarily safe.. One million cars are victims of the energy crisis in Europe

Europe’s auto sector will be hit hard by the energy crisis, with a study from S&P Global Mobility showing that production could fall by more than one million cars per quarter over the coming months, starting late this year and continuing into 2023.

Analysts say parts shortages and supply bottlenecks will weigh heavily on automakers from November through the spring of 2023 and that things could get worse if power is cut off during the winter months.

Despite the attempts of European governments to remedy the energy crisis and reduce its consequences as much as possible, they practically fail to protect the car industry market, and the study confirms that supply models may face major problems in the coming period, which will lead to the suspension of shipments of completed vehicles due to the lack of individual components.

Projections indicated that European car factories could produce between 4 million and 4.5 million cars each quarter, but if power constraints were imposed, this could drop to 2.8 million per quarter, resulting in a loss of between 4.8 million and 6 million cars. .8 million on an annual basis.

The study analyzed 11 car production centers in Europe, and ranked them according to the best centers to withstand energy problems in the coming winter. It revealed that the Czech Republic and Germany are in a good position, especially Germany due to their low dependence on gas-derived electricity and current levels of gas storage. On the contrary, a clear problem appears in Spain, Italy and Belgium, all three of which scored poorly on energy self-sufficiency.

Analyst Edwin Pope, in a brief interview with Autonews, added to the pessimism about the future of the auto industry.

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