VW CEO warns German carmakers may lose leading position
Staff Writer |
Herbert Diess, chief executive officer of Volkswagen Group, warned on Tuesday that German carmakers face significant regulatory and technological challenges in coming years and may lose leading position in the world.
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"From today's perspective the chances are perhaps 50:50 that the German automotive industry is still amongst the global leader in ten years", Diess said at the Volkswagen supplier firm event in Wolfsburg."Enormous efforts" were needed to ensure that major current automotive production sites in Germany such as Wolfsburg, Ingolstadt, Stuttgart and Munich were still "vivid industrial centers" in 5, 10 or 20 years.
The CEO emphasized that growing protectionism remained a source of concern in this context. "Looming tariffs on German cars imported in the United States are still a topic with which me must concern ourselves with. A final decision has not been reached here yet."
Aside from trade conflicts, Diess cited the difficulties experienced by German carmakers in adapting to the new Worldwide Harmonized Light Vehicles Test Procedure (WLTP) as one of further risk factors. He also criticized plans by the European Union (EU) to lower CO2 emission limits for vehicles again as posing a threat to his industry.
"We are used to the car being the subject of criticism. However, the current crusade against individual mobility and hence against the car is assuming dimensions which pose an existential threat", Diess complained.
EU members represented in the bloc's council have recently agreed to reduce the upper CO2 emission threshold for new passenger vehicles by 35 percent and by 30 percent for light-duty utility vehicles by 2030.
In response, Bernhard Mattes, president of the German Association of Automotive Industry (VDA), expressed regret that "a majority of member states could not bring themselves to strike a balance between climate policy and employment in Europe." ■