The Guardian view on Volkswagen’s crisis: another wake-up call for Germany and the EU | Editorial
Robust action is needed to protect European industries from unfair competition. The alternative is social strife amid growing insecurityAccording to a recent analysis, China enjoys a surplus in its manufactured...
By Editorial · The Guardian Opinion
Robust action is needed to protect European industries from unfair competition. The alternative is social strife amid growing insecurity According to a recent analysis , China enjoys a surplus in its manufactured goods trade with the European Union that is roughly equivalent to Italy’s national income. That trade disparity, it is estimated, continues to grow by about 30% each year. The stark implication, according to a paper from Centre for European Reform, is that Europe, with Germany in the frontline, risks “deindustrialisation at China’s hand”. The gravity of the threat was grimly evident in the car industry last week, as Volkswagen’s supervisory board met to discuss radical proposals to cut 100,000 jobs – around a sixth of the company’s global workforce – and close plants. Taking into account indirect as well as direct employment, the automotive sector is responsible for around 3m jobs in Germany. But manufacturers in the country’s flagship industry have found themselves in a triple bind. Do you have an opinion on the issues raised in this article? If you would like to submit a response of up to 300 words by email to be considered for publication in our letters section, please click here . Continue reading...