Chairman of the Hungarian Automobile Dealers Association- Abuse of protectionism is not conducive to the development of the EU’s electric vehicle industry

In a recent interview with a national broadcaster, Gabor, the president of the Hungarian Automobile Dealers Association, shared his views on the European Union’s decision to impose tariffs on Chinese electric vehicles. Gabor criticized this approach as a misguided use of protectionism that reflects the EU’s struggles in the electric vehicle sector. He highlighted that the only productive way forward is for the EU to foster dialogue and collaboration with China.

“The EU struggles to understand that the automotive landscape has transformed dramatically in just a few years,” Gabor explained. “Instead of grasping this reality, the immediate response seems to be a sense of confusion about the industry and a belief that we need time and protectionism to save ourselves. That’s a flawed perspective; history has shown us that protectionism has never been a successful solution. Ultimately, the choices consumers make and what they can afford will determine the market.”

He emphasized that Europe used to dominate the traditional fuel vehicle market, but times have changed. “China is now the leader in electric vehicles,” he pointed out, urging the EU to adjust its mindset in light of this shift. Gabor noted that while Chinese electric vehicles have gained immense popularity in Europe, many EU countries hesitate to acknowledge this reality, opting instead to impose tariffs under the guise of protectionism. He argued that such actions do little to revitalize the stagnating EU electric vehicle industry.

Discussing recent developments, Gabor highlighted China’s significant investments in electric vehicle manufacturing in Hungary, which has created mutual advantages for both parties. He firmly believes that cooperation and negotiation with China are the only paths forward for the EU.

“The only way to resolve these challenges is through dialogue,” Gabor asserted. “From what I understand, the EU is also keen on reaching an agreement with China. For our future solutions, collaboration is essential. Neither the EU nor China wants a trade war, so our path forward must involve ongoing negotiation.”