The ‘CARS 21’ Initiative and JAMA’s Contribution

Background

On 13 January 2005 , the Commissioner for Enterprise and Industry Günter Verheugen and ACEA (European Automobile Manufacturers Association) launched the CARS 21 initiative, the objective of which is to generate recommendations aimed at improving the global competitiveness of the European car industry. This initiative can be seen against the backdrop of the Lisbon Agenda and the priority of Enterprise and Industry Commissioner Günter Verheugen and Commission President José Manuel Barroso to make Europe more competitive. 

The high level group, which is composed of three Commissioners ( Enterprise and Industry, Transport and Environment), two MEPs. representatives from the Member States ( UK , Germany , France , Czech Republic and Italy ) and European Industry representatives (Ford, Volvo, Fiat, VW, Renault and ACEA), will first meet on 11 April 2005 .  In view of stakeholders’ interest in this initiative, the Commission has also launched a public consultation and a Public Hearing.

JAMA’s Contribution

JAMA fully supports the ‘CARS 21’ initiative and welcomes the opportunity to participate in the ‘CARS 21’ consultation and forthcoming Hearing. The development of a European automotive regulatory framework for the next ten years that creates the preconditions for a sustainable and competitive automotive sector forms a priority for JAMA and its members, who are willing to contribute to the development of this framework and welcome all initiatives enabling their participation. 

JAMA feels that it is important that CARS 21’s work does not reduce to a hunt for ‘poor’ regulations.  JAMA shares the opinion expressed in the European Commission’s Competitiveness Report 2004 that “the regulatory environment is one of the major determinants of competitiveness” (p 266). With the authors of the Report, JAMA also recognises the difficulties in assessing the impact of regulation on competitiveness.  JAMA agrees with them that one of the most important considerations to be taken into account is the complexity of the demands of society, which has led to a cumulation of regulations.  JAMA believes that it is the cumulative effect of regulations, which individually may have persuasive merits but are often not mutually consistent, that present the sector with significant burdens. 

The JAMA contribution to the consultation will highlight the current contribution of the European subsidiaries of Japanese brands to the competitiveness of the European Motor Industry. Among other things it highlights how best practices in manufacturing, employment and training have so far enabled them to become an integral part of the European automotive sector and how JAMA is fully committed to the strengthening of the sector in the EU and globally.  The key themes discussed include:

• JAMA contributions to the European economy (including production, R&D, employment, EU purchasing)
• High productivities
• Global alliances
• Market access
• CO₂ reduction technologies, including alternative powertrains
• Fiscal incentives
• Fuel quality
• Global harmonisation of technical standards
• Intellectual property rights

JAMA does not see its contribution to the CARS 21 initiative as an end in itself but rather as its first contribution to an evolving process. JAMA fully supports the CARS 21 initiative and is willing to contribute in a significant manner to its objectives.