Concerns
The German Chancellor Friedrich Merz will hold a summit meeting in Berlin on Thursday with representatives from the German automotive industry to discuss the weakness in that sector.
Germany’s large automotive industry faces major challenges such as weakening sales, fierce competition from China, global trade unrest, job losses and high costs. At the meeting, Merz will speak with executives from automotive companies and automotive suppliers, as well as with unions and officials from federal states. This will involve discussions on solutions to better position the automotive industry for the future and maintain employment in the sector in Germany. New technologies and climate goals will also be discussed.
In addition to Merz, Minister of Finance Lars Klingbeil is also present, as are the president of the German automotive industry association VDA and the chairman of the large trade union IG Metall.
Earlier this week, VDA released new research showing that German car suppliers remain very gloomy due to the poor market conditions. That gloominess is weighing on the willingness to invest. Major suppliers such as Bosch, Continental and ZF Friedrichshafen are cutting thousands of jobs due to the malaise in the industry. VDA President Hildegard Müller wants the German government and the European Commission to do more to strengthen the international competitive position of the European automotive sector.