The report Joint EU Vision on R&I for the Technological Competitiveness of the EU Automotive Sector has been developed by a broad coalition of European automotive industry stakeholders, in close coordination with the European Commission and supported by industry-led partnerships. As such, it reflects a strong industry-driven perspective, particularly focused on competitiveness, innovation capacity and industrial scaling .
It positions the European automotive sector, accounting for around 7% of EU GDP and millions of jobs, at a critical turning point, shaped by global competition and the rapid shift towards electrification, digitalisation and AI-driven systems. A central argument is that value creation is increasingly moving towards software, batteries and data-driven services, requiring a coordinated push in research and innovation to retain industrial leadership in Europe.
The report identifies key technological priorities, including software-defined vehicles, connected and automated mobility (CCAM), battery innovation and advanced manufacturing. It also stresses the need to accelerate innovation cycles and strengthen European supply chains.
Beyond technology, the report implicitly highlights a structural transformation of work across the automotive value chain. As systems become more software-driven and data-intensive, traditional roles are being redefined, and new skill profiles are emerging. The transition towards AI-enabled, connected and automated mobility is therefore not only an industrial challenge, but also a workforce one.
In this context, the need to anticipate skills demand, address labour shortages and support workforce adaptation becomes central to ensuring that technological progress translates into sustainable competitiveness. The report points to the importance of developing the necessary expertise across the value chain and aligning education, training and industrial strategies accordingly.
These challenges are closely aligned with ongoing European efforts to support a just and inclusive transition, as reflected in broader EU policy frameworks such as the Green Deal, the Digital Decade and the automotive Industrial Action Plan. They also resonate with current initiatives focused on understanding how automation, digitalisation and new mobility systems will reshape jobs, tasks and skills in the sector.
For industry stakeholders, the key takeaway is that maintaining competitiveness in the transition towards electrified, connected and automated mobility will depend not only on technological innovation, but on the ability to integrate workforce development, reskilling and organisational adaptation into core business strategies.
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