Time for a more considered reply, which hopefully brings it back on topic, too. My slightly hasty response last night rather underplayed the Germanic influence on the area, which @SPmember and @Inbar rightly point out. The Alsatian language is Germanic, and there seems to be an increase in interest in it. Place names, family names, buildings etc are Germanic. But the Alsatians see that as THEIR identity - neither German nor French - and having been shuffled between the two countries they hold onto that. When you’re there, though, it feels far more French than German. Almost all of the village signs, though, have a discrete (and I believe illicit) “Im Elsass” added, following Hollande’s integration with Lorraine and Champagne-Ardenne to form the Grand Est - that really wasn’t popular (though that also has to do with what they see as loss of money). They want to assert their own identity. It will be interesting to see what happens now that Bas-Rhin and Haut-Rhin have merged.
So, to bring it on-topic, if Alsace is going to start to make red wines more seriously, it will find a way to do it in its own image. It’s easy to forget that it reinvented itself as a maker of quality wine post-War - for a long time, and especially under German rule, it was seen as an easy source of cheap quaffers. So what we see as a historical focus on unoaked aromatic whites is comparatively recent in its current form. It’s at an early stage of more widespread production of quality red wine, but it has the terroirs to find its own place, and the existing methods are continually being challenged - the young winemakers get sent all over France and the world to learn their trade and pick up new techniques. The trend at the moment is towards competing with Burgundy, and you can understand why producers cast an eye at what’s probably the world’s most overpriced wine and want some small slice of that pie. What I’d hope for, is that this continues to evolve into its own style. I don’t think that going up against low end, New World pinots would be productive either - they’d never compete on volume, and it wouldn’t be commercially worthwhile. The Alsace pinot noirs that I currently enjoy the most fit somewhere between the two - unoaked or lightly oaked, a ripeness of fruit, but an Old World restraint and earthiness. I do feel that there’s a niche there for something distinctively regional*. I actually don’t doubt that the region is capable of evolving a more oaked style, but my worry is that I wouldn’t drink much of it, because I wouldn’t like the price.
*Cue someone telling me that that’s exactly the style of Spätburgunder. To my shame, I can’t actually remember drinking one. I really should. Edit: especially having re-read @MarkC’s post!