Seat has closed a positive year in figures, because it has grown in sales and in marketed cars, but assumes that it was a “complicated” year, as it will also, it has assumed, 2025. The reasons, slow growth, inflation, pressure on margins and tariff Company, the Tavascan Cupra, which is manufactured in the Chinese giant.
“Protectionism and tariffs, by themselves, do not work,” said the CEO of Seat-Cupra, Wayne Griffiths in the presentation of results of 2024. Also, he has criticized that these “threaten employment.” However, he has recognized that the company is “working closely with governments to find a solution” and that there is “will” to achieve it, although “today there is no concrete solution and time is running out.”
Seat has already dropped that up to 1,500 jobs can be in danger if tariffs to China are maintained as they are. Now he says the agreement may be when falling. “Our priority is to find the solution and avoid the impact on employment. We have been able to convince governments and the EU of our situation, that the case of Tavascan is different, and you have to find a solution. They understand our problem. So far we have not found it. We have had an important financial impact, due to 20% [de arancel] And we can’t continue like this. I hope we can give good news soon, ”said Griffiths. On that economic impact, “the profitability of the group has remained at 4.4%. Without the effect it would have reached 5%, ”he has listed.
The division of the German group closed the year with a benefit after taxes of 537 million euros (25 less than in the previous year, when more fiscal credits could sign up). In addition, it closed the year with an increase in the number of deliveries of 7.5% and a record turnover of 14,530 million euros, of which Cupra represented more than 50%.
Criticism of European policy
“In an unstable tariff panorama,” Seat will be “more flexible in the future,” Griffiths assumed. There, this year the production of electricity will begin in Martorell (Barcelona), the Raval Cupra, which will arrive on the market next year. “25% of sales in Europe should be electric and we are in 13%. I worry that at this rate we are putting the automotive industry in Spain and Europe at risk, ”he argued.
What does not see for the group is to head the production for Volkswagen of an electric below 20,000 euros. “I would not rule it out for the future of Seat, which needs an electric model, but it has to be profitable. We cannot afford models that are not profitable, ”he has assumed. “It’s not the time, but I would not rule out in the future,” he repeated. The decision about Seat entering the electic segment will be taken at the end of this decade.
“We all have the responsibility to change the approach and take this country and this continent to the future. Europe will be a power in the car if you take the opportunity. The objective of putting an end to combustion engines in 2035 will not be able to reach it. Last week the commission flexible the emission standard, that is welcome, but it is not the definitive solution. It will be the consumer who decides and so far we have not done enough to convince him, ”added the CEO of Seat. “Buying an electric car has to be more affordable,” with “tax incentives, more recharge structure and a consistent communication.”
Spain is more behind. “Only 5% of sales were electric. In the past the automotive sector was 10% of GDP and gave two million people a job. Although the Spanish economy was the one that grew the most, the sector is decreasing and that makes no sense, ”he criticized
Cupra will arrive in the US in this decade
As for the United States, Seat maintains its intention to take coupra to that North American market before the decade ends. “We are working on different alternatives, because not everything is black or black.” “The tariffs change from day to day to another, the plans are maintained, but what you have to be is flexible,” said the CEO.
“If we want to be in the US, you have to manufacture in the region, also in Mexico,” he said. “You have to see what is happening.” “You have the client, regulation and tariffs and you have to work on the different alternatives and technologies,” he summarized. Also, that the decision to enter that market has to be taken in the first half of this year, both in which models will be carried out as it will be manufactured. “There are factors at play that complicate him, but they don’t doubt the plan to go to the United States.”
“They are investments of billions and are taken in the long term. At this time, between Mexico and Europe there are no tariffs and that is very attractive, but it is true that the cars that sell in the United States have to be manufactured there, ”he said.
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