A bit of bad news from the Continent: Audi CEO Rupert Stadler is cautioning that Western Europe’s auto market will not recover before the end of the decade.
Stadler’s comments came at a conference of automotive executives, and were far bleaker than previous projections. Europe is still burdened with significant overcapacity, with factories capable of producing 26 million vehicles a year, or 7 million more than necessary. Matching supply with demand would require 18 plants to be closed across Europe, resulting in massive job losses. Shutting car factories is a politically untenable situation in many countries due to their economic significance.