- Merz expresses concerns over VW's strategies: Germany deemed insufficiently competitive
CDU Head Friedrich Merz views Volkswagen's escalated cost-reduction strategies as an economic wake-up call for the German government. "Germany isn't competitive enough anymore," Merz lamented during a CDU gathering in Osnabrück. There's a chance VW might've gone wrong with their sole emphasis on electric vehicles.
A significant chunk of German industries, Merz pointed out, is no longer competitive. It's not just the automobile sector, but also chemicals and mechanical engineering that's struggling. This predominantly stems from the political environment, Merz argued.
According to Merz, Volkswagen has been labeled as a "turnaround case" by its board. "This clearly shows where we stand as a nation," Merz stated. "This isn't a temporary issue due to the global market."
Beforehand, Volkswagen declared that its main brand VW, as part of its cost-cutting measures, isn't ruling out facility closures and job cuts due to operational reasons.
The German automobile sector, including the Manufacture of motor vehicles, is part of the industries Merz mentioned as struggling for competitiveness. The challenges faced by Volkswagen in its focus on electric vehicles highlight the need for industries to diversify their strategies.
