The translation of the heading to English is: "Is Europe threatened by a wave of factory closures? Carlos Tavares warns of Chinese competition.

In a groundbreaking interview with the French financial newspaper Les Échos, Carlos Tavares, the CEO of Stellantis, addressed a sensitive topic: the possibility of plant closures in light of increasing competition from China. Tavares emphasized that all options are on the table in the automotive industry and did not rule out the possibility that European factories could be taken over or closed by Chinese manufacturers if they continue to expand their market share in Europe. He warned that Chinese automakers could circumvent potential EU tariffs by relocating their production directly to Europe. If this occurs, it could lead to untenable overcapacity, which, according to Tavares, would inevitably result in the closure of production facilities. The pressure on European manufacturers could significantly increase if Chinese companies expand their market share in Europe to 10%, which would mean around 1.5 million cars sold. Such market pressure could threaten the existence of seven assembly plants. Stellantis, known as the manufacturer of renowned brands such as Peugeot, Citroën, Opel, Fiat, Chrysler, and Jeep, had already warned last month of a potential profit decline caused by challenges in the North American market and difficult industry conditions overall. Carlos Tavares, whose contract runs until early 2026, has announced his intention to retire after stepping down. While the search for a successor is underway, the question remains how the company and the entire industry will gear up against competition from China.