According to the Economic and Steel Market Outlook 2025-2026/Q1 2025 Report from the Economic Committee of the European Steel Association (EUROFER), in the third quarter of 2024 automotive output in the EU dropped by 12.1 percent year on year, more sharply compared to the 7.8 percent decrease in the previous quarter.
Demand is projected to remain weak given the rather unpredictable economic outlook and uncertain economic growth perspectives. A full recovery in global trade and external demand from major markets, particularly the United States and China, will be a crucial factor for EU car exporters.
The sector is projected to experience a heavier contraction in output in 2024 at 8.4 percent, compared to the previous estimates at 6.5 percent. A modest recovery is foreseen in both 2025 and 2026 at 2.1 percent, with output volumes still far below 2019 levels.