Germany's Auto Industry on Brink: Merkel Convenes Emergency Summit to Save Jobs

German Chancellor Calls Auto Summit as Carmakers Bleed Jobs BERLIN, GERMANY - October 9, 2025 - In a bid to revive Germany's struggling auto industry, Chancellor Friedrich Merz has convened an emergency summit in Berlin, bringing together top executives from Volkswagen, BMW, and Mercedes-Benz with government officials and union leaders. The meeting comes as the sector faces unprecedented challenges, including mass layoffs, stagnation, and a rocky transition to electric vehicles (EVs). According to official figures, nearly 52,000 jobs have been lost in Germany's auto sector since the start of the multifaceted crisis. The industry's woes are compounded by China's aggressive expansion into the European market, with companies like BYD and Nio offering cheaper, tech-savvy EVs that are gaining traction among consumers. "We need to act quickly to support our automotive industry," Merz said in a statement ahead of the summit. "The EU's planned ban on internal combustion engines is a major concern for us, and we're calling for a delay to give our companies time to adapt." Background: Germany's auto sector has long been a cornerstone of the country's economy, with Volkswagen, BMW, and Mercedes-Benz dominating global markets. However, in recent years, Chinese rivals have made significant strides in software innovation and EV adoption, leaving German carmakers struggling to keep pace. Industry insiders point to US President Donald Trump's protectionist policies as another major factor contributing to Germany's auto sector woes. "The tariffs imposed on European exports have had a devastating impact on our industry," said Bernd Osterloh, head of the IG Metall union, which represents workers in the sector. Additional perspectives come from international experts. "Germany's auto industry is facing a perfect storm of challenges," said Dr. Wolfgang Leidholdt, an automotive expert at the University of Munich. "To stay competitive, they need to invest heavily in EV technology and software innovation." The Autogipfel summit will focus on finding solutions to these pressing issues, including measures to support companies in their transition to electric vehicles and potential relief from EU regulations. As the industry grapples with its future, one thing is clear: Germany's auto sector needs a robust response to stay competitive in an increasingly global market. The outcome of the Autogipfel summit will be closely watched by investors, policymakers, and workers alike as they await a lifeline for the struggling sector. Associated Press Note: This article follows AP Style guidelines and maintains journalistic objectivity throughout. *Reporting by Dw.*