Automotive suppliers are alarmed by the social consequences of the Franco-German agreement

Schaeffler, the German automotive supplier, announced plans to cut 3,460 jobs and close five factories in Europe, primarily in Germany. This follows a previous reduction of 4,700 jobs two years ago, reflecting ongoing struggles in the German automotive sector. The company and other suppliers are urging the EU to implement measures to support production in Europe. A recent compromise between France and Germany aims to reduce carbon emission targets for 2035, allowing manufacturers time to transition to electric vehicles while requiring 70% of components to be sourced from Europe for subsidies.