ACEA
Ivan Hodac, Secretary General of ACEA
“Production of flexible and technologic vehicles increases”
European Automobile Manufacturers' Association (ACEA) has been representing the interests of European automotive manufacturers since 1991. Ivan Hodac, the Secretary General of the Association, gave some information about their activities, and evaluated the crisis in Europe and the conditions of the automobile producers. Hodac stated that the vehicles using alternative fuels will constitute an opportunity for the automotive producers to overcome the difficulties of the crisis and for an increase in demand.
Could you introduce us ACEA briefly?
The European Automobile Manufacturers Association (ACEA), founded in 1991, represents the interests of the 16 European car, truck and bus manufacturers at EU level.
Its membership consists of the major international automobile companies, which share legislative, commercial, technical, consumer, environmental and other interests, and which work together in an active association to ensure effective communication and negotiation. The members of ACEA are competitors in the automobile market place and support free and fair competition as a trade policy and a legal concept.
ACEA is an Economic Interest Grouping. Its headquarters are based in Brussels and made up of the Secretary General and the Secretariat. In 1995 and 2004, ACEA opened additional offices in Tokyo and Beijing.
Technical expertise and advisory input comes from over twenty different working groups, made up of experts from the member companies.
ACEA was established as a response to the gradual shift to Brussels of government responsibility for many of the complex economic, social, technical and legal issues resulting from closer European integration. The origin of ACEA largely arose from the need to represent the technological, industrial and commercial contributions and interests of its member companies. ACEA produces regular publications, press releases and other material. These can be found on the ACEA website and are updated regularly.
“We compose the working groups according to the agenda”
What kind of communication do you have with your members? For example, how often do your members gather and hold meetings?
The Board of Directors is composed of the Chief Executive Officers (CEOs), Chairmen or Presidents of the automobile companies which are members of the Grouping. The Board has authority to take decisions on all relevant issues and elects, within its circle, a President for one year, with the possibility of re-election once more. The decisions of the Board are prepared by a Joint Committee, composed of senior executives of the members and chaired by the Secretary General. If needed, specific issues may be discussed beforehand by a more specialised Committee.
The Full BoD meets about 3 times a year, but the technical working groups and executive meetings are more regular. The various working groups meet at their own pace, depending on the degree of work and engagement on the topic.
Could you please give us some information about your researches?
We focus on topics in response to the legislative timetable and media interest. As the EU is our major institutional interlocutor, our work rotates around their regulatory projects for the industry. Accordingly, publications often respond to this timetable.
ACEA also publishes the annual statistical Pocket Guide, the annual Economic Report, the normally bi-annual Industry Report and various other publications, such as the Scientific Advisory Group (SAG) reports, which are released on a case-by-case basis.
Additionally, ACEA releases regular statistical press releases on the production and registration of new vehicles, both passenger cars and commercial vehicles.
What kinds of activities do the Working Groups perform?
The Working Groups are formed in response to the need to address the issue raised. Recently created Working Groups include the Automotive Aftersales Working Group, and the Corporate Social Responsibility Working Group, which were founded in order to coordinate industry responses to those issues.
Not all Working Groups produce studies or reports, and those that do, do so on a variable timetable. Frequently studies are commissioned by ACEA to be carried out by independent third parties.
“The last five years have seen a period of continuous decline in total new passenger car registrations”
What is the current situation of the automotive industry in the world? How would you evaluate the performance of the automotive market, especially the European market, in 2012?
The five years since 2007 have seen a period of continuous decline in total new passenger car registrations in the EU overall, and the market is expected to be challenging for at least another year. This is due to the ongoing debt crisis in the EU, which is acting as an anchor on European domestic demand.
Globally, the market for passenger cars is more buoyant, with higher sales in the US and the emerging market. However, ACEA does not keep statistics on global markets. For more detailed information, please go tohttp://oica.net/category/production-statistics/
What do you think is the top priority in European automotive industry and market?
European automobile manufacturers are committed to ongoing production in Europe through the difficult economic situation. Presently, demand is depressed through weak consumer confidence and poor access to credit, which is having a profound impact on the sector.
Further, increased trade access is important, as EU manufacturers are facing increasing competition from abroad whilst suffering poor demand in their home markets. In this context, the industry is urging the EU to proceed with Free Trade Agreements with third countries as unilateral tariff and non-tariff barrier dismantlement is likely to result in pressure on domestic production.
What do you think about Turkish automotive sector? What are the importance and role ofthe Turkish automotive sector in the world and Europe?
Europe and Turkey's automotive industry have a long mutual history, with many European manufacturers sitting production there since the 1950s.
Turkey is one of the world's largest producers – 6th in Europe - with 1,189,131 vehicles produced in 2011 according to OICA – this is a rise of 8.6% year on year, which is evidence of Turkey's place as a growth market in the global automotive sector.
“We are headed towards a period of more sophisticated global production.”
Do you think that it is possible to establish cooperation between the members of Turkish and European automotive markets?
Several ACEA members, including Daimler, Toyota and Renault – as well as others - already produce in Turkey, which is evidence of strong links between ACEA and Turkey's automobile industry.
ACEA welcomes links with its global partners as a means for strengthening and unifying the messages of sustainability, competitiveness and social relevance that form the core of its work in Europe.
What kind of a progress do you expect in the automotive industry in the upcoming 5 years?
The industry is going through a transition towards more sophisticated global production of increasingly flexible and technological vehicles. As it branches out into new markets, particularly China, it is evolving to suit local needs and tastes. Domestically, fierce competition means that development and innovation are taking centre stage, resulting in more vehicles and better consumer choice.
Finally, as the technology matures, there will be increasing use of alternate powertrain vehicles, such as EVs and Plug-in Hybrids. These new or recently improved technologies are becoming more and more widespread and are in demand – these represent an area in which the automotive industry can take a lead in developing and improving solutions.