Emmanuel Macron presents a support plan for the automotive industry

The President of the Republic will announce a plan Tuesday afternoon in Pas-de-Calais to support a car industry that has been shut down by the health crisis.

The car industry is waiting hard for two months of containment and awaiting announcements from the President of the Republic. On Tuesday, May 26, Emmanuel Macron went to a factory by equipment supplier Valeo in Étaples, near Le Touquet (Pas-de-Calais), to announce a support plan.

According to a source close to the CEO, it will concern “industrial sovereignty”, the transition to clean vehicles and the preservation of the sector’s competitiveness, representing 400,000 direct jobs – 900,000 including services.

>> See: “Coronavirus: the historic fall of the French car market”

In recent days, the Minister of Economy, Bruno Le Maire, explained that the aid plan would focus on green technology, while demanding in exchange a relocation of production to France.

Before his trip, the head of state must receive early in the morning at Élysée Jean-Dominique Sénard, president of Renault, three days before the disclosure of the savings plan for two billion euros in the group in difficulty, where the state holds 15% of the shares.

The European car market divided by four

Emmanuel Macron then has to receive the automotive sector (manufacturers such as Renault, PSA or Toyota, equipment manufacturers and the social partners) to find out the effects of the crisis and the means to get out of it, while the European car market was reduced to four in April after have fallen by half in March compared to last year.

In order to prevent spectacular bankruptcies and layoffs, the government announced Sunday € 3 billion, excluding social security contributions for companies in the most affected sectors such as catering, tourism, culture or sports.

>> To read: “” Renault plays its survival “Concerns Finance Minister Bruno Le Maire”

This upswing should affect 500,000 companies and increase debt beyond the threshold of 115% of gross domestic product, warned the Minister of Public Accounts, Gérald Darmanin.

However, the government will reduce state aid for short-term work to support economic recovery: from 1your In June, companies must pay 15% of this compensation.

With AFP