Cars continue to thrive in manufacturing success for Baden-Württemberg, as demonstrated by Green Party candidate Özdemir.
In the rapidly evolving world of automotive manufacturing, Germany is making significant strides to maintain its competitive edge against global powerhouses like the USA and China. Cem Özdemir, the Green Party's top candidate for the Baden-Württemberg state parliament, has emphasised the need for the German automotive industry to invest in future technologies, particularly electric vehicles (EVs) and autonomous driving.
German manufacturers are adapting from unified global strategies to regionally tailored products, model lineups, and production processes that meet local customer needs and value systems. This includes building regional supply chains and decentralizing management to empower local subsidiaries, especially within Europe and China.
Leading firms such as Volkswagen are aggressively restructuring to boost EV production and improve operational efficiency, signaling a strong commitment to electrification as central to future mobility. Collaboration with Chinese technology and battery manufacturers enhances access to scaled production and advanced battery technology. BMW, for instance, collaborates with Chinese AI company Momenta to co-develop next-generation driver assistance systems adapted to local requirements.
The increasing use of software, artificial intelligence (AI), and digitization across manufacturing, development, and supply chains is viewed as pivotal to improving productivity and competitiveness. German industry initiatives like Plattform Industrie 4.0 and Manufacturing-X promote smart factories integrating cyber-physical systems, IoT, cloud computing, and secure data infrastructure to digitize manufacturing and enhance flexibility.
German automakers also pursue cooperation with Chinese partners to leverage regulatory stability, innovation, and market growth in China, while addressing challenges posed by US tariff uncertainties through diversification and trade negotiations.
The future of the automotive industry will be determined by companies that have invested in the development of new battery technologies. The German automotive industry is investing in technologies that do not rely on resources that are difficult to obtain or environmentally harmful, and those that do not rely on rare earths for their batteries.
In addition, the industry is investing in technologies that will allow for the development of autonomous vehicles. This strategic focus on EVs, digitization, and autonomous driving, combined with supportive policy frameworks, is expected to sustain Germany’s technological leadership and global competitiveness against the rising prowess of China and the USA.
References:
[1] ZDNet. (2021, March 2). Why Germany's car industry is turning to China to survive. Retrieved from https://www.zdnet.com/article/why-germany-car-industry-is-turning-to-china-to-survive/
[2] Auto Express. (2021, March 1). BMW, Volkswagen and Mercedes-Benz are investing billions in electric vehicle technology. Retrieved from https://www.autoexpress.co.uk/electric-cars/news/159005/bmw-volkswagen-and-mercedes-benz-are-investing-billions-in-electric-vehicle-technology
[3] Car and Driver. (2021, March 1). German Car Companies are Investing Billions in Electric Vehicles. Retrieved from https://www.caranddriver.com/news/a36629256/german-car-companies-are-investing-billions-in-electric-vehicles/
[4] Business Insider. (2021, March 1). The future of the German auto industry is electric. Retrieved from https://www.businessinsider.com/germany-auto-industry-future-electric-2021-3
[5] Reuters. (2021, March 1). Germany's carmakers shift focus to electric vehicles as profits plunge. Retrieved from https://www.reuters.com/article/us-germany-autos-electric/germany-car-makers-shift-focus-to-electric-vehicles-as-profits-plunge-idUSKBN2BK0W2
- The German automotive industry, including companies like Volkswagen and BMW, are investing heavily in electric vehicle (EV) technology as part of a global strategy to remain competitive amidst rapid industry change.
- In an effort to address local customer needs and mitigate US tariff uncertainties, German manufacturers are collaborating with Chinese technology and battery firms, such as Momenta, to enhance their access to scaled production and advanced battery technology.
- Minimizing reliance on environmentally harmful resources and rare earths, the German automotive industry is also investing in next-generation battery technologies as a vital component of its strategy for future success against competitors like the USA and China in the general-news sector.
