Germany is the big loser in European growth in 2021
- While European production of light vehicles (PC and LUV) increased by only 6.3% in the first nine months of 2021 compared to the first nine months of 2020, while it had lost 25.7% in 2020 by Compared to 2019, Germany is the only country (along with Poland and Slovenia) not to experience growth this year. German production is down 3% in the first nine months of 2021 compared to the first nine months of 2020.
- There are many interpretations of this German production which is not progressing: if we put aside the semiconductor crisis which does not only affect German carmakers, perhaps this is the consequence of the forced electrification of vehicles imposed to carmaker in a country which is by far the main producer of thermal cars in Europe, and incidentally the main producer of electric and hybrid cars in Europe.
- In addition, Germany is one of the last major producing countries to relocate a significant part of its production, and it seems that the country suffers from this strategy (as France did several years ago), whether from Volkswagen (Spain, Portugal), Audi (Hungary, Mexico), BMW (Netherlands, Mexico) or Mercedes (Hungary, Mexico).
- Must be added the declining influence of the former German D-segment best selling sedans and the process of finalising the transfer of these models to China produced and sold locally.
- Finally, the declined influence of Ford and Opel in the German industrial system completes this analysis of the German automobile production.
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