Hildegard Muller, chairman of the German Automobile Industry Association, recently warned that the international competitiveness of the German automobile industry is declining sharply due to soaring energy prices. Muller said that high energy prices have threatened Germany’s medium-sized suppliers, causing more investment to no longer flow into Germany, but to other EU countries or the United States.
The latest survey by the German Chamber of Commerce and Industry shows that more than half of German automobile companies have lost confidence in the government’s energy policy. Many companies believe that switching from Russian natural gas to renewable energy will cause business losses. In addition, nearly one-third of companies plan to move production lines abroad or reduce domestic production.