Industry expert Ferdinand Dudenhöffer expects to see 100,000 jobs cut from the German auto industry.
Demand in Europe and America is slumping this year, production in Europe is likely to drop by a quarter to twelve million cars. There is overcapacity for seven million cars, the professor writes. “It is extremely unrealistic to drag these cost burdens over longer periods of time because long periods of loss cannot be afforded in the highly competitive automotive market.”
Car makers had shut down their factories around the world for weeks in the second quarter due to the Conora pandemic, partly because car dealerships had to lock down and dealers were unable to sell cars. Demand from suppliers was also put on hold.