Rigid Rules, Europe and US Cars at Risk Says Elkann

Amsterdam: Rigid rules on carmaking and the Green transition are threatening US and European carmaking, Stellantis President John Elkann told the AGM in Amsterdam Tuesday while stressing that the Italo-Franco-American carmaker had been “encouraged” by US President Donald Trump’s Monday night statement that he was considering pausing his 25% tariffs on auto parts and vehicles.

According to Ansa News Agency, Elkann highlighted the potential consequences of maintaining the current trajectory of tariffs and stringent regulations. “With the current path of painful tariffs and overly rigid regulations, the American and European automotive industry is at risk,” Elkann stated during the opening of the shareholders’ meeting.

Elkann emphasized the importance of the automotive industry, describing it as a vital source of employment, innovation, and community strength. He warned that failing to address these challenges could lead to significant negative impacts on both continents’ car industries.

However, Elkann expressed optimism, noting that it is not too late for the United States and Europe to take necessary actions. He urged both regions to implement urgent measures that could facilitate a smoother transition for the automotive sector.

Elkann also mentioned the encouragement drawn from President Trump’s recent indication of reconsidering tariffs on the automotive industry, suggesting potential relief for car manufacturers in the US and Europe.