Industry Trend Analysis - Upcoming Presidential Election's Impact On Autos - MAY 2017
BMI View: The French presidential election will increase pressure on French automotive manufacturers to divert investment to domestic operations . In turn, the French government will be keen to expand its shareholder influence at domestic automakers Renault and Groupe PSA. Finally, the likelihood of a Macron win could help to improve French competitiveness if his propos ed cut in corporation tax becomes a reality .
As part of BMI's French election primer, we set out here the main implications of the French presidential election for the automotive industry. Bearing in mind that our core scenario anticipates an Emmanuel Macron win ( see ' Election Primer - Macron Victory Will Provide Boost To Moderates Across EU ' , March 10), we highlight three key issues that could arise for the automotive industry during and following the elections:
Rise of protectionist rhetoric and pressures for French carmakers like Renault Motor and Groupe PSA to 'look inwards' and invest at home rather than abroad.
Falling Employment Fanning Public Disapproval Of Carmakers France - Automotive Industry Employees Source: CCFA, BMI
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