VDA President Müller: "And now we are reinventing the car!"

"The year 2021 will decide the future of the industry in Germany and Europe: We are at a turning point that will set the direction for the following decades," emphasized Hildegard Müller, President of the German Association of the Automotive Industry (VDA), at the digitally held VDA annual press conference. Manufacturers are not expecting a market recovery until the second half of the year. The current Corona situation is causing great concern for the automotive industry.

"Our companies are doing everything to further reduce the risk of infection in the plants, in production, and administration," Müller underscored.

The VDA president described the companies' concepts as successful. She pointed to the high safety standards of the automotive industry. The association places great hopes on the vaccinations, whose implementation now needs to be "very quickly" intensified so that Germany can swiftly emerge from this crisis.

"The citizens, the employees, and the companies need a reliable perspective quickly."

The VDA president emphasizes that the automakers expect the situation to improve in the second half of the year "if the progress in vaccinations is so significant that the pandemic can be noticeably contained in daily life."

But the pandemic is not the only challenge facing the automotive industry. The transformation of the sector must also be driven forward intensively. According to the VDA president, companies will invest a total of 150 billion euros in future technologies by 2025, especially in electromobility and digitalization.

The VDA president explicitly commits to the climate targets but opposes bans. These are not the answer to climate concerns. Instead, Müller relies on technical innovations.

"Europe needs this innovation competition and an active industrial policy to achieve the climate targets while simultaneously securing growth and employment."

Hildegard Müller emphasizes that manufacturers are working on new offers and alternatives and bringing them to the road.

"We are creating the new mobility that everyone is talking about. And we as an industry have achieved a lot."

Germany is the European champion in e-mobility. In terms of patents in the field of e-mobility, the German automotive industry is also far ahead. Müller also claims a top position in research and development, in the areas of drive, battery, hybrid, digitization, autonomous driving, improving the piston engine, and reducing emission values.

"I deliberately say piston engine, because it is not combustion that is the problem, but the fuel and its origin, which is why we also need e-fuels. We invented the car, and now we are reinventing it. The automotive industry companies are researching and developing in all fields."

Müller criticizes the new EU mobility strategy, which focuses very heavily on e-mobility for almost all modes of transport, while currently a Europe-wide charging network is lacking: "75 percent of the charging infrastructure in the EU is currently found in only three countries – the Netherlands, Germany, France – and only for cars. The truck network is almost completely missing." Therefore, the EU mobility strategy must be expanded in the coming months – to include synthetic fuels and the expansion of a hydrogen infrastructure so that traffic can continue to flow.

"And we must expect that the EU Commission not only formulates goals but also takes charge of implementation. Otherwise, trade agreements are of no use," says Hildegard Müller.

From the federal government, Müller expects them to take action regarding the Green Deal. The laws and regulations for this will be worked out in the coming months.

"I hope that Germany will take action here despite the upcoming election campaign."