"In this study, the obstacles and potential associated with a transformation of the automotive industry and the development of an ecological mobility industry are discussed in dozens of interviews with trade unionists, climate activists and representatives of the automotive industry from Brazil, Serbia, Slovakia, the Czech Republic, Spain, France and Italy. There is a particular focus on positioning in the international value chain, the impact of foreign direct investment, the structure of the local labour market and the bargaining power of local trade unions.

The study also examines how local actors assess the potential for building an ecological mobility industry.
Since the outbreak of the COVID‑19 pandemic, the global automotive industry has had to contend with a decline in employment, with 150,000 jobs lost in the European Union (EU) by February 2021. Nissan, Renault, Daimler, Continental, Bosch, ZF and many other manufacturers have had to lay off staff and cut jobs, and it is not only the carmakers themselves that have been affected: the vital supplier industry has been hit too. In Brazil, 50 percent of automotive production capacity has been idle during the pandemic, and Ford has ceased production in the country entirely.

On the other hand, share owners benefited from dividends and asset growth. Global car production has been characterised by overcapacity and recurring sales crises for years, and only the increasing demand for vehicles on the Chinese market and various measures to create purchase incentives have been able to shore up demand in recent years. The billions in support from some governments during the COVID-19 pandemic were, of course, a welcome boon for the automotive industry.

When it comes to a left Green New Deal, therefore, the focus must be more on developing alternatives: e-mobility needs to be discussed in a broader context, including above all the production of electrically-powered rail vehicles and public transport vehicles. Local and long-distance public transport must be comprehensive and affordable, guaranteeing the "right to mobility" all over the world. The mobility transition is a key conflict and a central "starter project" of a global left Green New Deal.

The development of alternative production could create hundreds of thousands of jobs worldwide. Not only that but the massive expansion of rail and public transport has the potential to generate local jobs that would not be threatened by industrial relocation. The stark contrast between labour and capital was highlighted once again during the pandemic, as many companies in the automotive industry took advantage of the situation to put pressure on workers, downgrade working and employment conditions, cut wages, lay off staff and move production to cheaper locations.

A conversion of the automotive industry into an ecologically-oriented mobility industry can only succeed if it is underpinned by extensive social participation: public involvement would have to be combined with a greater say for workers, trade unions, environmental associations and the wider population, for example in the form of regional councils. It is also important to build on workers' knowledge and expertise, and the pride they have in themselves as producers and in their product and its usefulness.

A "just transition" is needed for the automotive industry in order to be able to cope with the upcoming challenges of structural change through e-mobility and the development of an ecological mobility industry. We need a green revolution in the industry while also protecting workers."

Support: Digital