The automotive industry is one of the most important industries for the future of the European Union, as it is one of the world’s largest producers of motor vehicles, while accounting for 6.1% of total employment in the Union.
The automotive sector in Europe represents the largest private investor in research and development (R&D).
Bringing together more than 14 million jobs, both direct and indirect, national recovery plans have placed a strong emphasis on the automotive sector.
Over the next few weeks, FI Group will be analysing the investments that each country has proposed in its Recovery and Resilience Plan to obtain Next Generation EU funds.
The “España Puede” Recovery and Resilience Plan is articulated through 30 components. It is these components that explain the division of the 69.5 billion euros that Spain is to receive from the European Commission.
Both number 1 (Shock Plan for Sustainable, Safe and Connected Mobility in urban and metropolitan environments), which will have 9,336 million euros, and Component 6 (Sustainable, Safe and Connected Mobility), with a total investment of 7,767 million euros, include the measures that have an impact on the automotive sector in Spain.
One of the objectives of the Spanish government is to decarbonise the economy and respond to climate change. On the other hand, with an investment of 2,987.6 million euros, a Trans-European Transport Network-European Corridors will be promoted.
Component 12, Industrial Policy Spain 2030, with 3,782 million euros, includes the Programme to boost industrial competitiveness and sustainability, including the automotive sector.
It is worth highlighting the investment exclusively focused on the sustainable automotive sector mentioned in Component 17, which will have 40 million euros.
|Low-emission zone and digital and sustainable transformation of urban and metropolitan transport in municipalities with more than 50,000 inhabitants||2.916|
|Incentive plan for the installation of public and private recharging points, the acquisition of electric and fuel cell vehicles and lines to promote singular projects and innovation in electro mobility, recharging and green hydrogen to favour electric mobility||2.00|
|Actions to improve the quality and reliability of the local rail service||1.620|
|Trans-European Transport Network – European Corridors||2.987,6|
|Trans-European Transport Network – Other actions||1.905|
|Intermodality and logistics||974,4|
|Support programme for sustainable and digital transport||800|
|Industrial Policy Spain 2030||3.782|
|R&D&I in sustainable automotive (PTAS)||40|
According to the España Puede plan itself, the PERTEs “constitute a figure with a permanent vocation, conceived as a mechanism to promote and coordinate high-priority and emblematic projects”. It is the Council of Ministers itself that will identify the PERTEs and set in motion the process to articulate them.
Due to the importance of the automotive sector in Spain, the PERTE to develop the electric vehicle has been the first to be announced. All operators present in Spain will be able to participate in it, without forgetting the component, telecommunications, energy, logistics, mining, and public administration industries.
The Italian National Recovery and Resilience Plan -PNR– is developed around three strategic axes that include “digitalisation and innovation”, “ecological transition” and “social inclusion”.
In line with the strategic axes “digitalisation and innovation” and “ecological transition” identified within the NRP, the automotive sector will have to be able to adopt an innovative and integrated approach aimed at addressing the current context becomes fundamental to maintain and/or acquire a competitive advantage in the market.
It is possible to identify within the Plan, 3 components to which 7 investments are connected that could have a direct and/or indirect impact on the automotive sector.
Considering the total amount of resources allocated within the framework of these investments, amounting to some 19 billion euros, it will be essential for economic operators to be able to take advantage of the opportunities foreseen in the NRRP in time (e.g. by participating in the planned calls for proposals) in order to acquire a leading role within the sector.
|Investment||Millon de euros|
|Experimenting with hydrogen for road transport||230|
|Development of electricity charging infrastructure||740|
|Renewables and batteries||1.000|
|Fund for the National Research Programme (PNI) and research projects of major national interest.||1.800|
|Strengthening research structures and creating “national R&D champions” in key enabling technologies||1.600|
8 billion euros. This is the budget that the French Recovery and Resilience Plan, Plan de Relance, is going to devote to the automotive sector between grants, loans and investments.
Plan Relance has three main objectives for the automotive sector:
The aim of this program is for BPI to invest in capital in some companies to reinforce their equity – I just had one request on this subject one week ago and this is complementary with grants and of course may interest some companies to complete their funding approach
France has been one of the most advanced countries in opening the first calls for proposals. The most important open calls in the automotive sector are related to green cars and vehicles of the future.
In addition to being incorporated in the Relance Plan, the automotive sector is also to receive funds from:
The combination of European funds from the Multiannual Financial Framework and Next Generation EU funds will give Portugal access to a volume of around 50 billion euros in the period 2021-2029.
The Portuguese LRP is a national implementation programme, with an implementation period until 2026, and will put in place a set of reforms and investments that will allow the country to return to sustained economic growth, reinforcing the objective of convergence with Europe in the next decade.
This component, included in the Climate Transition pillar, aims to ensure the development of robust projects, with a strong contribution to the improvement of public transport systems.
Specifically, it seeks to promote the strengthening and increased use of public transport with the consequent reduction of dependence on individual road transport.
It also promotes the decarbonisation of the transport sector and contributes to the recovery from the economic and social effects of the pandemic crisis, especially in terms of employment.
With a planned budget of 967 million euros, several investments are planned, such as the extension of the Lisbon and Porto metro networks, the light rail between Odivelas-Loures, the Boavista BRT line and the decarbonisation of public transport.
The reform of the Transport Ecosystem also seeks, from the perspective of environmental efficiency, decarbonisation and energy transition, fitting in with the European Union’s flagship initiatives on recharging and energy supply.
The programmes in the German recovery and resilience plan (GRRP / Deutscher Aufbau- und Resilienzplan) dedicated to the automotive sector are providing a budget of approximately 11.6 billion euros offered as grants and devided in shorter or longer available calls and IPCEIs (Important programmes of common european interest, which generally have a very short period of expression of interest, the basis of an application.
The GRRP has the following goals regarding the automotive sector:
|Component||Investment / reform||Budget in mio. €||Start date of the Call||Call´send date|
|1.1Decarbonisation solutions using renewable hydrogen in particular||1.1.1 Hydrogen projects withinthe framework of IPCEIs(Already closed call)||1.500||14.02.2021||19.02.2021|
|1.2Climate-friendly mobility||1.2.1 Subsidies for the construction of filling and charging infrastructure||700||24.11.2020Q4 / 2021||Q4 / 2023 –|
|1.2.2 Development of electric mobility||75||07 / 2021||09 / 2021|
|1.2.3 Innovation premium to fund the replacement of vehicle fleets||2500||08.07.2020||Q4 / 2021|
|1.2.4 Extension of first registration period for granting of ten-yr. tax exempt. for purely electr. vehicles||295||22.10.2020||Q4 / 2025|
|1.2.5 Promotion of purchases of buses with alternative drive systems||1085||Q3 / 2021||Q3 / 2025|
|1.2.6 Subsidies to fund alternative drive systems in rail transport||227||18.02.2021Q2 / 2021||Q3 / 2024|
|1.2.7 Funding for the vehicle and supplier industry for hydrogen -& fuel cell applications in transp.||545,9||Q4 / 2021||Q4 / 2023Q4 / 2026|
|2.1Data as the raw material of the future||2.1.1 Innovative data policy for Germany||516||Q4 / 2022||Q 4 / 2024|
|2.1.2 IPCEI microelectronics and communication technologies||1500||01.02.2021||Q2 / 2021(closed call)|
|2.1.3 IPCEI next generation of Cloud Infrastructure & -services (IPCEI-CIS)||750||Call of interest will follow shortly|
|2.2 Digitalisation of the economy||2.2.1 Investment progr. for vehicle manufacturers/supplier industry||1898,5||Q1 / 2021||31.12.202130.06.2024|
These open/closed calls are part of the German recovery and resilience plan (GRRP/DARP) and are located and under the rule of following:
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