Romania has fourth largest workforce in the automotive industry in the EU

Romania has the fourth largest workforce in the automotive industry, with the sector remaining one of the most stable on the continent during the coronavirus pandemic, according to a new analysis.

The carmaker industry in Europe was already showing signs of a slowdown even before the pandemic, the semiconductor crisis, and the war in Ukraine. The compounded crises only deepened the problems of an ailing sector. The auto industry in Romania, however, remained one of the most stable on the continent, according to an analysis by Profit.ro.

In 2021, the second year of the pandemic and semiconductor crisis, Romania was the seventh country in terms of vehicle production, with a production level almost equal to that of Hungary, being surpassed only by the large producing countries, Germany, France, the Czech Republic, and Slovakia. With a volume of 407,443 cars manufactured in 2021, Romania surpassed even Poland, which also produces commercial vehicles, as well as buses.

Romania also has the fourth-largest workforce in the automotive industry. Roughly 180,000 people in Romania work directly in the production of motor vehicles, not to mention the many more employed in the activities support car production indirectly. Romanians make up around 7% of the total workforce of the automotive industry in Europe. The same number makes up a share of 15% of employees in Romania in production activities, more than double the EU average. Only Slovakia has a higher share of employees working in the automotive industry. Germany, the largest car producer in Europe, has 11.1%.

However, if the EU automotive sector has an average of 7.1 vehicles produced annually per employee, Romania is in the last place, with 2.7 vehicles per employee. Spain, Slovakia, and Slovenia take the first places. This signals a decreased productivity of employees in the local industry.

Romania also remains a poor market for cars. The country registers six cars sold per 100 inhabitants in 2021, compared to an average of 22 cars in the EU. Only Bulgaria had a lower rate, with only four cars sold for every 100 inhabitants.

Worldwide car production has decreased since 2018, from 80 million units to 63 million in 2021. Europe produced a record 15 million cars in 2017, but production has slowed ever since, to 9.9 million last year.

There are 194 factories that produce cars, engines, or batteries in Europe. Only six are in Romania.

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