Latest news with #Germans'
The Star
an hour ago
- Automotive
- The Star
Global auto giants look to China for future vision
At the Auto Shanghai show in April, an executive of Volkswagen — one of the world's biggest auto manufacturers — made a frank admission that the German giant had misfired on its country strategy for China. "To be very honest, we didn't have the right product strategy or the right approach to drive the business in China," Oliver Blume, chairman of the board of management of the Volkswagen Group, told China Daily. He was referring to the situation when the same event was held two years ago. "But at this auto show, we're not just talking about strategy or plans on paper — we're showcasing real results, and that makes me very proud of what the teams have accomplished," said Blume. The German automaker's long and profitable association with China began in October 1984 when it inked a deal with the Shanghai Automobile & Tractor Company to begin a joint venture, Shanghai Volkswagen. Now known as SAIC Volkswagen, it is the oldest extant automotive partnership in China. Despite the Germans' initial concerns that the fledgling China operation could not produce even "one Volkswagen-standard car" the first model of the joint venture, the Santana, rolled off the assembly line in late 1985. German technology and management, coupled with China's reform and opening-up and local workers' diligence, was the right formula for success. The Santana was a triumph, and for more than 30 years Volkswagen — joined by other foreign automakers such as Peugeot, Fiat, Toyota and Hyundai — rode on the path of prosperity created by China's ongoing development and modernization. By 2009, China had become the world's largest vehicle market, and non-Chinese brands accounted for 56 percent of total vehicle sales, according to the China Association of Automobile Manufacturers. But, the peak for overseas auto manufacturers in China was followed by a decline as the industry entered the era of NEVs. Volkswagen sales tumbled from 3.85 million units in 2020 to 2.92 million units in 2024. In the meantime, Chinese automaker BYD's sales skyrocketed from 427,000 units in 2020 to 4.27 million units in 2024. Volkswagen wasn't alone. South Korean automaker Hyundai, the world's third-largest carmaker, delivered 507,000 units in China in 2020, but last year its sales shrank to 157,000 units. General Motors, the No 1 carmaker in the United States, saw its sales in China plunge from 2.9 million units to 1.83 million units over the same period. Strategic rethink In recent years, Volkswagen has come to realize that developing cars in Europe and bringing them into China no longer works, as local rivals are coming up with completely new products at a super fast speed and car buyers are young and tech-savvy. Ralf Brandstaetter, CEO of Volkswagen Group China, expressed those ideas in late 2023 in Hefei, capital of East China's Anhui province, where the German company has built an R&D facility dedicated to smart new energy vehicles (NEVs). With an investment of 1 billion euros ($1.09 billion), Volkswagen China Technology Company is the carmaker's largest development center outside Germany. The center is creating an electric vehicle (EV) platform specifically for the Chinese market and to meet the demands of Chinese customers, The first model is scheduled to roll out in 2026. "We will bring the platform to market maturity in just 36 months. This means that we are reducing the development time by around a third," Brandstaetter said. One key driver of efficiency is greater involvement of local suppliers. Volkswagen said around 1,100 Chinese suppliers are involved, and the localization rate will gradually be increased to 100 percent. Volkswagen calls it the second wave of "localization" in the country. In the first wave, the company purchased components from international suppliers' plants in China, which nevertheless required going back and forth with the automaker's headquarters in Germany, a company executive explained. But now, Volkswagen sources components directly from Chinese companies and involves them in the early stages of development, which saves time and improves integration. This year's Auto Shanghai show saw several new Volkswagen models — including the ID. AURA, the and the ID. EVO — on display that offered a glimpse into the company's electric vehicle-focused future. Starting from 2026, over 20 state-of-the-art NEVs will be launched, including battery electric vehicles, plug-in hybrid electric vehicles and extended-range electric vehicles, to suit differing customer demands in China, said the carmaker. More importantly, these models are not engineered in Germany, but developed with "Chinese solutions", making them more appealing to local customers. The carmaker launched its "in China for China" strategy in 2023. "For us, 'in China, for China' is not just a slogan — it's our execution mode," Brandstaetter told China Daily at the auto show. Despite Volkswagen's renewed confidence, the challenges ahead remain formidable and Brandstaetter is acutely aware of the realities, especially the fierce competition faced from Chinese automakers. While the new generation of Volkswagen models tailored for the Chinese market is just around the corner, Brandstaetter remains cautious. "We are confident, but I think the competition is tough here in China, and this will be an ongoing challenge in the coming year," he said. 'Inventing' in China As the world's largest and most fiercely competitive automotive market, China is redefining the global car industry — not just as a sales powerhouse, but increasingly as the epicenter of innovation, research and development, and manufacturing excellence. "The market here is not just the largest in scale — it is the most innovative," said Christophe Perillat, CEO of French auto parts supplier Valeo. His company, which entered China in 1994 and now employs over 18,000 people across 27 production plants and 13 R&D centers, is doubling down on localization efforts. Valeo plans to open a new R&D hub in Shanghai focused on advanced driver-assistance systems and a production facility dedicated to "smart driving" technologies. Perillat stressed that Valeo is "inventing in China" — not merely importing global technologies. Some 4,500 engineers work locally, with a large proportion of software developers, underscoring the growing importance of software and AI in automotive innovation. This trend is echoed by other industry players. Auto parts giant Continental unveiled the name of its new automotive group, Aumovio, at the Shanghai show, signaling a strategic shift to position China at the center of global mobility innovation. Philipp von Hirschheydt, CEO of Aumovio, said "I see (this launch) as a tribute to China and a recognition of the key role this market plays within our global organization." He said the local team has more autonomy because of the need for faster decision-making in a market where development cycles are shorter. German auto parts provider Schaeffler is celebrating its 30th anniversary in China, where it now employs 19,000 people across 17 factories and six research and development centers. "China is no longer just a growth market. It's becoming the epicenter of future automotive technology," said Matthias Zink, CEO of Schaeffler's automotive technologies division. "We believe the future of mobility is being written in China," Zink added. Chinese tech's role One of the most important assets for all global auto companies is China's thriving tech related to the industry. Automotive AI, smart in-car functions, and advanced driver assistance systems (ADAS) have become key battlegrounds where Chinese companies lead, or collaborate closely, with international players. In April, BMW announced integration of the locally developed AI model DeepSeek into its China-made Neue Klasse vehicles from 2026. The move marked a significant milestone in embedding Chinese AI into global products. The Neue Klasse models will also feature AI agents developed in partnership with Alibaba, that will offer digital manual support and travel planning tailored for Chinese consumers. Mercedes-Benz's long-wheelbase CLA — with ByteDance's Doubao large language model — further exemplifies how global brands tap Chinese AI to enhance the user experience. "That is why you have to be in China," said Ola Kaellenius, chairman of the board of management at Mercedes-Benz AG in an interview with China Daily. "You have to be in China not just because of the access to the market but because of the technology, (and) innovation." Kaellenius described China's role as a source of "inspiration not just to delight customers in China, but to use what we learn and innovate here also for the rest of the world". Chinese smart-driving companies like Horizon Robotics, Momenta, and Huawei have become key technology partners. Volkswagen's largest single investment in China was a 2.4 billion euro deal with Horizon Robotics in 2022, followed by the creation of a joint venture, Carizon, which will supply driver-assistance systems from 2026. Volkswagen's premium Audi marque has partnered with Huawei to provide driver-assistance systems for its gasoline-powered A5L sedans and upcoming electric Q6L e-tron SUVs. Honda, meanwhile, is co-developing next-generation ADAS with Momenta, and adopting DeepSeek AI technology for its electric Ye Series, a major pivot to harness Chinese tech capabilities. UBS automotive analyst Paul Gong said: "China has evolved from a market with potential to the largest and most profitable market, then into the most competitive manufacturing hub, and gradually into a training ground and fitness center — and now, into a 'brain', the core of research and development." The rapid localization of R&D and production, combined with deep collaboration with Chinese tech firms, is redefining innovation models for global automakers. Auto manufacturers that harness Chinese innovations in the industry will have a greater chance of restoring their markets and grabbing early advantages of the tech, analysts said. The International Energy Agency predicts that NEVs will account for over 40 percent of global car sales by 2030. In China, the market share could reach 80 percent. It is too early to predict the fate of overseas carmakers in China's NEV era, as most of their new models will not hit the market until 2026, which could be a make-or-break year for many of them. Volkswagen's Blume, nonetheless, said he enjoys competition, likening it to sports, where competition helps improve one's performance. "If you aren't improving week after week, that means you are lazy — and that changes us, and makes us better," he said. Blume said China is like a "fitness center" for the global automotive industry, where global carmakers can sharpen their competitive edge by operating in this market. "Now, we feel fitter than we did two years ago. The customer will decide who wins in the market. You don't need to fear the battlefield when you're prepared," he said. - China Daily/ANN
Yomiuri Shimbun
2 days ago
- Business
- Yomiuri Shimbun
To Berlin's Relief, Musk — Not Merz — Got Slammed during White House Visit
Demetrius Freeman/The Washington Post German Chancellor Friedrich Merz attends a meeting in the Oval Office on Thursday BERLIN – German Chancellor Friedrich Merz went to the White House on Thursday to talk about trade, war, peace and the future of the Western alliance – a high-stakes meeting for which his top advisers made painstaking preparations. President Donald Trump had something he wanted to say, too. About Elon Musk. Sitting next to Merz in the Oval Office, Trump told reporters he was 'very disappointed' in his former adviser. Musk returned fire, and the two ex-besties were off on a wild, hours-long breakup that dominated the day's news cycle at home and abroad. But see things from the Germans' side. What they felt was … palpable relief. Under the headline 'New Best Friends?' a political commentator for Germany's BR broadcaster wrote: 'It could hardly have gone better for the chancellor. His meeting with the U.S. president in the Oval Office, sometimes a scene of public humiliation, was extremely polite and almost harmonious.' Germans, including Merz and his delegation, seemed thankful that Trump's trademark rage had been directed elsewhere during the meeting and was nothing like the president's public castigations of Ukrainian President Volodymyr Zelensky and South African President Cyril Ramaphosa during their visits to the White House 'You are smiling,' Sen. Chris Coons (D-Delaware) told Merz as he gathered with a gaggle of senators following the White House meeting. 'That's a very good sign.' 'Still standing!' added Sen. Lindsey Graham (R-South Carolina), to laughter. Merz told the German broadcaster ZDF that he was 'very satisfied' with the meeting. Displaying no worry or concern about the visit being overshadowed, he added: 'I expected us to get along well. And that's exactly what happened.' It did not escape German commentators, however, that on camera the leader of the European Union's most populous country, and the third-largest economy in the world, only got to speak for about four minutes in the meeting as Trump mostly held forth with the press. But global leaders appear to be learning how to manage their encounters with Trump, or at least survive them. 'The team behind Merz prepared meticulously for this visit, and it showed. Phone calls between Merz and Trump prior to the visit helped pave the way for a smooth meeting,' said Sudha David-Wilp, a senior fellow at the German Marshall Fund. 'Both leaders felt comfortable with each other and President Trump was in a positive mood yesterday, but many hurdles and summits are ahead. The challenge is to concentrate on the shared interest and channel out the noise.' Like others before him, Merz also came bearing gifts. But were they the right gifts? Trump was presented with a gold-framed copy of his German grandfather's birth certificate. Gold is always good with Trump. But the president's reaction appeared a little tepid – though he did look up at the wall and joke that maybe he could find a place for it there. He seemed more enthusiastic about a golf club engraved with the U.S. and German flags. Merz is a fellow golfer and later posted on Instagram a picture of Trump with the club. Merz will soon have the opportunity to see how the partnership fares on German soil. The chancellor told German broadcaster ARD that Trump had accepted an invitation to visit Germany. Merz said last month that he plans to include a trip to the small wine-growing town Kallstadt – the hometown of Trump's grandfather – during the president's anticipated visit. Free from the baggage of his predecessors – including Olaf Scholz, who worked closely with President Joe Biden, and Angela Merkel, whom Trump repeatedly berated for her open-door migration policy at the height of Europe's migration crisis a decade ago – Merz's blank sheet going into the Oval Office was evidently advantageous. 'The whole world now knows: Trump has nothing against this German; he likes him,' German daily the Süddeutsche Zeitung wrote. 'Perhaps the most important reason for this: Friedrich Merz is not Angela Merkel.' Following a question about the sweeping travel restrictions on 19 countries that Trump announced Wednesday, the president criticized Merkel's migration policy. 'We want to keep bad people out of our country. … Of course, you have a little problem, too, with some of the people that were allowed into your country,' Trump said to Merz. 'It's not your fault. … It shouldn't have happened. I told her it shouldn't have happened, but it did,' Trump said, without naming Merkel. Merz didn't respond. Merz appeared to handle Trump more smoothly than he did British Prime Minister Keir Starmer and French President Emmanuel Macron, though he had fewer speaking lines. Perhaps less was more. Merz mostly went out of his way to praise and flatter Trump, but he also remained assertive – insisting, for instance, that Russia alone was to blame for civilian deaths following the 2022 invasion of Ukraine. For the most part, Merz had Trump nodding along – except when Merz mentioned the children in war-torn Ukraine, at which point Trump stopped nodding and froze. 'Under normal diplomatic practice, Donald Trump's monologue would be an affront to the chancellor,' German publication Focus wrote. Instead, Merz took it in stride and used his small amount of speaking time wisely, the magazine wrote. There were some noteworthy exchanges, including one about Nazis. Merz began noting that June 6 was the anniversary of D-Day, when the Allied Forces landed on the beaches of Normandy, 'when the Americans ended a war in Europe.' That day in 1944 was the symbolic start of Europe's liberation in World War II. Trump jumped in: 'That was not a pleasant day for you? This is not a great day.' Merz answered: 'No, in the long run, this was the liberation of my country from Nazi dictatorship.' Vice President JD Vance appeared again on his spot on the sofa as the president's wing man. But he did not pounce – and Merz made sure to say thank you. 'We owe the Americans a lot,' the chancellor said. 'We will never forget about them.' Turning toward the president, he continued, 'so with your German provenance, I think this is a very good basis for close cooperation between America and Germany.' It was unclear exactly what Merz and Germany might get out of the meeting, other than future encounters minus any awkward baggage. After Merz took a firm stand on Russia's responsibility for the war in Ukraine, Trump suggested that Russia and Ukraine be treated as two children fighting on a playground who should simply be left to battle it out. Asked by the press about Trump's comparison of the war to a playground tussle, Merz didn't take the bait. 'I think we both agree on this war and how terrible this war is going on,' he said. 'We are both looking for ways to stop it very soon.' Booth reported from London.
North Wales Chronicle
22-05-2025
- Politics
- North Wales Chronicle
Five teenagers held after far-right group planned attacks, German police say
The early-morning arrests in various parts of Germany were accompanied by searches at 13 properties, federal prosecutors said. Four of those arrested – identified only as Benjamin H, Ben-Maxim H, Lenny M and Jason R, in line with German privacy rules – are suspected of membership in a domestic terror organisation. The fifth, Jerome M, is accused of supporting the group. Two of the arrested also are accused of attempted murder and aggravated arson. All are aged between 14 and 18. Prosecutors said they are also investigating three other people, aged 18 to 21, who are already in custody. All the suspects are German citizens. According to the prosecutors, the group was formed in mid-April 2024 or earlier. They said that its members saw themselves as the last resort to defend the 'German nation' and aimed to bring about the collapse of Germany's democratic order. Two of the suspects set a fire at a cultural centre in Altdobern in eastern Germany in October, prosecutors said, adding that several people living in the building at the time escaped injury only by chance. In January, another two suspects allegedly broke a window at a home for asylum-seekers in Schmolln and tried unsuccessfully to start a blaze by setting off fireworks. They daubed the group's initials and slogans such as 'Foreigners out,' 'Germany for the Germans' and 'Nazi area' on the walls, as well as swastikas, prosecutors said. Also in January, three suspects allegedly planned an arson attack on a home for asylum-seekers in Senftenberg, but it never came about because of the earlier arrests of two of the men. Justice minister Stefanie Hubig said it was 'particularly shocking' that all of those arrested on Wednesday were minors at the time the group was allegedly founded. 'This is an alarm signal and it shows that right-wing extremist terrorism knows no age,' Ms Hubig said. In a separate case a week ago, German authorities banned a far-right group called 'Kingdom of Germany' as a threat to the country's democratic order and arrested four of its alleged leaders. In an annual report released on Tuesday, the Federal Criminal Police Office said that the number of violent crimes with a right-wing motivation was up 17.2% last year to 1,488. That was part of an overall increase in violent politically motivated offences to 4,107, an increase of 15.3%.
Leader Live
21-05-2025
- Politics
- Leader Live
Five teenagers held after far-right group planned attacks, German police say
The early-morning arrests in various parts of Germany were accompanied by searches at 13 properties, federal prosecutors said. Four of those arrested – identified only as Benjamin H, Ben-Maxim H, Lenny M and Jason R, in line with German privacy rules – are suspected of membership in a domestic terror organisation. The fifth, Jerome M, is accused of supporting the group. Two of the arrested also are accused of attempted murder and aggravated arson. All are aged between 14 and 18. Prosecutors said they are also investigating three other people, aged 18 to 21, who are already in custody. All the suspects are German citizens. According to the prosecutors, the group was formed in mid-April 2024 or earlier. They said that its members saw themselves as the last resort to defend the 'German nation' and aimed to bring about the collapse of Germany's democratic order. Two of the suspects set a fire at a cultural centre in Altdobern in eastern Germany in October, prosecutors said, adding that several people living in the building at the time escaped injury only by chance. In January, another two suspects allegedly broke a window at a home for asylum-seekers in Schmolln and tried unsuccessfully to start a blaze by setting off fireworks. They daubed the group's initials and slogans such as 'Foreigners out,' 'Germany for the Germans' and 'Nazi area' on the walls, as well as swastikas, prosecutors said. Also in January, three suspects allegedly planned an arson attack on a home for asylum-seekers in Senftenberg, but it never came about because of the earlier arrests of two of the men. Justice minister Stefanie Hubig said it was 'particularly shocking' that all of those arrested on Wednesday were minors at the time the group was allegedly founded. 'This is an alarm signal and it shows that right-wing extremist terrorism knows no age,' Ms Hubig said. In a separate case a week ago, German authorities banned a far-right group called 'Kingdom of Germany' as a threat to the country's democratic order and arrested four of its alleged leaders. In an annual report released on Tuesday, the Federal Criminal Police Office said that the number of violent crimes with a right-wing motivation was up 17.2% last year to 1,488. That was part of an overall increase in violent politically motivated offences to 4,107, an increase of 15.3%.
Rhyl Journal
21-05-2025
- Politics
- Rhyl Journal
Five teenagers held after far-right group planned attacks, German police say
The early-morning arrests in various parts of Germany were accompanied by searches at 13 properties, federal prosecutors said. Four of those arrested – identified only as Benjamin H, Ben-Maxim H, Lenny M and Jason R, in line with German privacy rules – are suspected of membership in a domestic terror organisation. The fifth, Jerome M, is accused of supporting the group. Two of the arrested also are accused of attempted murder and aggravated arson. All are aged between 14 and 18. Prosecutors said they are also investigating three other people, aged 18 to 21, who are already in custody. All the suspects are German citizens. According to the prosecutors, the group was formed in mid-April 2024 or earlier. They said that its members saw themselves as the last resort to defend the 'German nation' and aimed to bring about the collapse of Germany's democratic order. Two of the suspects set a fire at a cultural centre in Altdobern in eastern Germany in October, prosecutors said, adding that several people living in the building at the time escaped injury only by chance. In January, another two suspects allegedly broke a window at a home for asylum-seekers in Schmolln and tried unsuccessfully to start a blaze by setting off fireworks. They daubed the group's initials and slogans such as 'Foreigners out,' 'Germany for the Germans' and 'Nazi area' on the walls, as well as swastikas, prosecutors said. Also in January, three suspects allegedly planned an arson attack on a home for asylum-seekers in Senftenberg, but it never came about because of the earlier arrests of two of the men. Justice minister Stefanie Hubig said it was 'particularly shocking' that all of those arrested on Wednesday were minors at the time the group was allegedly founded. 'This is an alarm signal and it shows that right-wing extremist terrorism knows no age,' Ms Hubig said. In a separate case a week ago, German authorities banned a far-right group called 'Kingdom of Germany' as a threat to the country's democratic order and arrested four of its alleged leaders. In an annual report released on Tuesday, the Federal Criminal Police Office said that the number of violent crimes with a right-wing motivation was up 17.2% last year to 1,488. That was part of an overall increase in violent politically motivated offences to 4,107, an increase of 15.3%.
