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According to Bloomberg, at a time when car production in Europe is generally declining, auto parts supplier Valeo is looking for buyers for two auto parts factories and a research and development center in France.

Valeo is seeking to sell three bases in France, including two parts factories and a research and development center. On the one hand, the demand in Europe is somewhat insufficient, the parts factories do not have enough business, and the research and development center also needs a large amount of funds to upgrade, and about 1,000 employees may be affected. Currently, Valeo is seeking to sell these three bases, including Chinese buyers. As one of the most important auto parts companies in France, Valeo is still good in lighting.Zeekr 007（parameter丨picture) The optional light curtain that costs 8,000 is from Valeo. In addition, Valeo has also invested huge R&D funds in electrification in recent years, including motors and electronic controls. However, overall, the European automotive industry is not doing well, and Bosch, ZF, Continental, etc. are also laying off employees. Valeo Group is an industrial group headquartered in France that specializes in the design, development, production and sales of automotive parts, systems and modules. The company's business involves original equipment and after-sales business. It is a world-leading supplier of automotive parts and provides supporting services to all major automobile manufacturers in the world.

Suppliers are also under pressure as the industry grapples with the high costs of a shift to electrification and as carmakers such as Fiat's parent company Stellantis move production and research and development to low-cost countries outside Western Europe. Slowing demand for electric vehicles in major markets such as Germany and Italy due to high prices and inadequate charging infrastructure has led some automakers to adjust their electric vehicle plans, exacerbating their woes.

For example, Stellantis' car production in Italy fell 36% in the first half of this year. Two local Italian unions said last week that the Turin, Italy-based company responsible for assembling theFiat 500The Mirafiori plant, which makes electric cars, saw a 63% drop in car production in the first half of the year and will stop production again from July 15 to August 25. Stellantis CEO Carlos Tavares has publicly urged suppliers to cut costs and move their own manufacturing bases to lower-cost regions. Volkswagen Group also said it might close an Audi electric car plant in Belgium to save costs.