Reviving Germany's Auto Industry for an Electric Future

Germany's automotive industry faces the challenge of transitioning to electric vehicles while maintaining its stronghold in the premium segment. Former VW CEO Herbert Diess emphasizes the need for Germany to establish a robust domestic market for high-end electric cars. This involves developing fast charging infrastructure, providing affordable electricity, and supporting cost-cutting measures, including potential factory closures.

Diess believes that Germany's historical success in the premium car segment, driven by a strong home market and favorable conditions like company car taxation and autobahns, can be replicated for electric vehicles. However, the competition, particularly from China, poses a significant challenge as it has swiftly advanced its electric vehicle capabilities.

The focus is on creating a competitive advantage in the electric vehicle sector, emphasizing the production of superior vehicles. The industry must adapt by fostering innovation and ensuring that electric cars are embraced by consumers. Additionally, collaboration with China is seen as essential, as European companies have lagged in battery cell production.

Diess remains optimistic, urging the industry to capitalize on its strengths and adapt to the evolving market. The goal is to demonstrate leadership in electric mobility by building and promoting the world's best electric vehicles domestically.