German Handelsblatt: VW, BMW, Mercedes: “It’s a drama” – car manufacturers are increasingly relocating production abroad006644

Volkswagen in Wolfsburg

Classic vehicle production in Germany has collapsed by more than 36 percent within ten years.

(Photo: Volkswagen AG)

Germany is becoming less and less important as a car location. From Munich to Wolfsburg, classic vehicle production has fallen by more than 36 percent within ten years. In 2012, car companies still produced around 5.6 million cars and vans in Germany, but in 2022 there were only 3.6 million units. This is shown by figures from the “Marklines” information service, which are available exclusively to the Handelsblatt.
During the same period, foreign production by Volkswagen, BMW, Opel and Mercedes-Benz increased from 8.6 to over ten million vehicles. Economists and industry representatives attribute the decline to high wages, taxes and energy prices in Germany. Industry experts therefore expect further relocations.

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