A former French Minister is urging the automotive sector to “not be defensive” as it looks to the myriad challenges presented by new technologies which are starting to impact the diesel sector in particular.

Luc Chatel, previously Education Minister and now president of the Plateforme Automobile (PFA) body representing the industry, made his clarion call at the recent Forum on the European Automotive Industry (FEAL) in Lille, grouping suppliers, OEMs and government officials in France’s primary manufacturing region for the sector. 

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“We must be in a position where we can attract [investment] – let’s not be defensive about this,” said Chatel. “The car industry has been far too defensive. Cars are not the problem – cars are the solution. We have launched the [a] fund for the future of the automotive sector – financed by the major corporations. Renault has put EUR45m [US$52m] on the table, PSA the same and the State also EUR45m. The idea is to work with competitive loans.

“We have got a real problem because we have got to be able to attract talent – we need to go and find these young people.”

The former politician also conceded France was vulnerable to the changing perception and consumer attitudes to the diesel sector, which is starting to have a concrete impact on sites producing technology using the fuel and as the shift towards alternative propulsion gathers pace. 

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“Our jobs are going to be changing,” added Chatel. “We have identified the sites which are going to be suffering from stopping diesel. The result is there will be an impact straightaway with our factories. We have considerable know-how, especially in diesel engines. What are we going to do with all the people who are working in our factories and [who will be] victims of these changes?

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“It is now we have to work on these issues with the State, regional authorities and territorial authorities. We have got to anticipate the way we can create training programmes for the jobs of the future. We are able to face these shocks, but we have to plan for them. The auto sector is going to go through upheaval it has never experienced in the past 120 years it has existed. It will be asking itself whether it can survive.

“The State – contrary to what many may think – is very important to the automotive sector. In 2008, the State saved the sector in France during the major financial crisis. Is France going to be a major player in producing mobility services in the 21st century, that is the challenge. We are being struck by three forms of disruption: technological breakthroughs, digital changes with connected vehicles and what will result from autonomous vehicles.”

The PFA represents more than 4,000 French businesses involved in the automotive sector employing around 500,000 people.