Marelli plant closure forewarns painful electric vehicle transition

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Marelli plant closure forewarns painful electric vehicle transition
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Around 230 workers in Italy's 'Motor Valley' have begun striking over the planned closure of their auto parts factory, an early casualty of the European Union's transition towards electric vehicles.

FILE PHOTO:Some workers and union members stand and sit outside Marelli's auto part factory, as almost 230 workers went on strikes in the past weeks against the planned closure of Marelli's auto part factory, which risks becoming the country's first casualty of European Union's drive towards...

The dispute is an example of the conflicting challenges governments will face as industries and economies shift towards greener energy to meet tough climate goals and bolster energy security. When formed, Marelli had 43,000 employees with 10,000 in Italy. The Italian workforce has now fallen to 7,300, versus an increase to 50,000 worldwide.

Chouri's husband Giovanni Sanfelice said he welcomed green transport, but the EU was not managing the transition well. "Small size means little money to invest to convert production," said Francesco Zirpoli, a management professor at Venice University and scientific director of its Center for Automotive and Mobility Innovation .Zirpoli said Italian parts makers had the skills to embrace more EV-oriented production but the main threat came from the country's shrinking car industry. Auto output in Italy has fallen from over two million units in the 1990s to below one million now.

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