European Automobile Manufacturers’ Association (ACEA), an industry lobby group, said the proposal goes too far and threatens automakers with higher input and administrative costs.
Germany’s BMW fell around 8% on Wednesday, slumping toward the bottom of the pan-European Stoxx 600 index.
The Munich-based carmaker, which is reportedly on track for its worst trading day since September last year, issued a fresh profit warning on Tuesday, citing slow growth in China and the ongoing impact of U.S. import tariffs.
Germany’s Mercedes-Benz Group, Porsche and Volkswagen were all down roughly 2%.
Shares of France’s Renault and Milan-listed Stellantis were last seen 2.5% lower and 0.3% lower, respectively.
Even if and when China’s domestic consumption would awake in the long-term future for some reason, the slow growth in the Chinese markets for all non-Chinese companies will go on. The government turns the country into a closed shop, in the automotive as well as in all other industries. It’s really time that Europe and the rest of the world wakes up and protect their markets, too.