Bugatti and Rimac CEO, Mate Rimac, took to social media to share an important point. He says that European manufacturers shouldn’t compete with Chinese automakers by copying them. Instead, Rimac suggests that the industry should find its niche, much like Swiss watchmakers. No matter who you talk to, you’ll hear that the automotive industry is undergoing arguably its most transformative change on record. Whether it be the march of tech, reacting to global issues, or how automakers rethink their ICE vs EV strategies, the pressures are immense. However, for legacy automakers, the biggest fear appears to stem from Chinese competition. But, with multiple CEOs from all spectrums calling for tariffs or outright bans on Chinese competition, there’s one who has a proposed a different way to tackle the increased competition: none other than Mate Rimac, CEO of Bugatti Rimac. Back To The Future In a video posted to Instagram, Rimac — who founded electric supercar manufacturer Rimac and, earlier this year, assumed full control of Bugatti from Porsche — acknowledged that Europe’s automakers are in trouble thanks to ever-increasing competition from China. However, he disputes what he considers to be the current approach of paying consultants “hundreds of millions [of euros]” to copy what the new competitors are doing. Bugatti Destrier Rimac suggests that, rather than introducing elements that the Chinese auto industry is already very good at — such as fitting bigger screens, reducing the number of buttons, and bringing faster charging — perhaps Europe should do the opposite. Using the interior of a Bentley Arnage to illustrate his point, he points to the handcrafted British car’s solid-looking air vents, tactile switches, deep-pile carpet, and the use of real leather and wood. Even though the Arnage, which was manufactured from 1998 through to 2009, may look dated to some, it stands as a strong contrast to what many marques are doing today. It’s not the individual elements that make it; it’s the synergy of those things that make it a true luxury car in a class of its own. Finding A Niche View this post on Instagram A post shared by Mate Rimac (@materimac) Rimac goes on to liken the future of the European car collective to that of the Swiss watch industry, saying, “you may say ‘a luxury car is not for everyone; we need to make a car for everyone.’ Well I disagree. We need to find our niche, like the Swiss found their watchmaking… They just make five percent of the world’s watches, but [make] 90 percent of the profits in watchmaking.” At the time of writing, the short 86-second clip posted to Instagram and Facebook has amassed 1.4 million views, with 88,000 likes and over 2,000 comments. Other heavyweights in the industry have chimed in too, with well-known automotive journalists and influencers including Chris Harris, Jonny Smith, Harry Metcalfe, Misha Charoudin and Aziz Drives echoing Rimac’s views. Even Bentley CEO Dr. Frank-Steffen Walliser left a tongue-in-cheek comment, telling Rimac not to reveal Bentley’s strategy. Rimac’s call to action surrounding Chinese cars and their threats to existing legacy brands is a refreshing take. Rather than asking for tariffs or bans, his idea is to drill down on what should make European cars so different from the competition. It’s a call, however, that flies in the face of the industry’s current trajectory. Will any other automotive CEOs heed Rimac’s words? It remains to be seen. Bentley Arnage Interior / RM Sotheby’s
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