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Auto summit: Why German carmakers need help from politics

02:12

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Jörg Jelinnek
October 7, 2025

Germany’s automakers are suffering a dramatic sales slump that forced them to shed more than 51,000 jobs within a year. Therefore, the government has invited industry executives to find ways for a turnaround.

Volkswagen is pausing production for a week in Zwickau and Dresden, reflecting the growing challenges in Germany’s automotive sector. Despite massive investments in electric vehicles, consumer demand remains low, prompting brands like Mercedes and Porsche to abandon their electric-only strategies.

Experts cite high production costs, strict EU regulations, and China’s technological lead as key obstacles. As a result, nearly 100,000 jobs are expected to be cut across the German auto industry by 2030. The sector, vital to Germany’s economy, faces mounting pressure and uncertainty.

This video summary was created by AI from the original DW script. It was edited by a journalist before publication.

 

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