Selected Impacts of Regulation (EU) 2019/631 On Value Creation in the Automotive Industry

Kód výsledku v IS VaVaI

<a href="https://www.isvavai.cz/riv?ss=detail&h=RIV%2F29142890%3A_____%2F21%3A00041046" target="_blank" >RIV/29142890:_____/21:00041046 - isvavai.cz</a>

Výsledek na webu

<a href="https://www.sciendo.com/article/10.2478/fiqf-2021-0022" target="_blank" >https://www.sciendo.com/article/10.2478/fiqf-2021-0022</a>

DOI - Digital Object Identifier

<a href="http://dx.doi.org/10.2478/fiqf-2021-0022" target="_blank" >10.2478/fiqf-2021-0022</a>

Jazyk výsledku

angličtina

Název v původním jazyce

Selected Impacts of Regulation (EU) 2019/631 On Value Creation in the Automotive Industry

Popis výsledku v původním jazyce

Road transportation is responsible for a significant part of the EU’s total CO2 emissions. Therefore, the automotive sector is subject to continuously strengthening environmental regula-tion. Regulation (EU) 2019/631 of the European Parliament and of the Council of 17th April 2019 sets, for the period from 2020 to 2024, an EU fleet-wide target of 147 g CO2/km for the average emissions of new light commercial vehicles and an EU fleet-wide target of 95 g CO2/km for the average emissions of new passenger cars, phasing in for 95% of vehicles in 2020 with 100% com-pliance in 2021. If a manufacturer does not meet given CO2 standards, the excess emissions pre-mium (penalty) is to be charged. Value creation in the automotive sector across the supply chain is necessarily undergoing a process of change. Manufacturers of passenger cars and light com-mercial vehicles are forced either to face a massive penalty or to invest in the development of low-emission technology and in the change of the production portfolio towards zero- and low-emission vehicles with lower profit margins and a relatively unformed customer base. The aim of this paper is to identify how the excess emissions premium affects the value creation in the auto-motive industry. Our methodology utilizes the income-based valuation approach. First, we con-duct an analysis of the key financial value drivers of automotive companies in the period from 2016 to 2019. Subsequently, we make a prognosis of value drivers for the future period affected by the above-mentioned regulation.

Název v anglickém jazyce

Selected Impacts of Regulation (EU) 2019/631 On Value Creation in the Automotive Industry

Popis výsledku anglicky

Road transportation is responsible for a significant part of the EU’s total CO2 emissions. Therefore, the automotive sector is subject to continuously strengthening environmental regula-tion. Regulation (EU) 2019/631 of the European Parliament and of the Council of 17th April 2019 sets, for the period from 2020 to 2024, an EU fleet-wide target of 147 g CO2/km for the average emissions of new light commercial vehicles and an EU fleet-wide target of 95 g CO2/km for the average emissions of new passenger cars, phasing in for 95% of vehicles in 2020 with 100% com-pliance in 2021. If a manufacturer does not meet given CO2 standards, the excess emissions pre-mium (penalty) is to be charged. Value creation in the automotive sector across the supply chain is necessarily undergoing a process of change. Manufacturers of passenger cars and light com-mercial vehicles are forced either to face a massive penalty or to invest in the development of low-emission technology and in the change of the production portfolio towards zero- and low-emission vehicles with lower profit margins and a relatively unformed customer base. The aim of this paper is to identify how the excess emissions premium affects the value creation in the auto-motive industry. Our methodology utilizes the income-based valuation approach. First, we con-duct an analysis of the key financial value drivers of automotive companies in the period from 2016 to 2019. Subsequently, we make a prognosis of value drivers for the future period affected by the above-mentioned regulation.

Druh

J_imp - Článek v periodiku v databázi Web of Science

CEP obor

—

OECD FORD obor

50200 - Economics and Business

Projekt

—

Návaznosti

N - Vyzkumna aktivita podporovana z neverejnych zdroju

Rok uplatnění

2021

Kód důvěrnosti údajů

S - Úplné a pravdivé údaje o projektu nepodléhají ochraně podle zvláštních právních předpisů

Název periodika

Financial Internet Quarterly

ISSN

2719-3454

e-ISSN

—

Svazek periodika

17

Číslo periodika v rámci svazku

3

Stát vydavatele periodika

PL - Polská republika

Počet stran výsledku

12

Strana od-do

76-87

Kód UT WoS článku

000706717100007

EID výsledku v databázi Scopus

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