Decarbonisation as a Driver of Change in the Austrian Automotive Supply Industry

The decarbonisation of vehicle fleets challenges the automotive industry and hence also for Austria as a production location. The objective to reduce CO2 emissions has become a key driver of structural change in the vehicle industry. This structural change generates new markets and sales opportunities. However, it also entails risks and will lead to stranded investments. To prevent undesirable consequences, this article recommends economic policy approaches that revolve around planning security, the consistency of the mix of measures, diversification and education and training.