The 8th Sino-German Auto Conference is underway in Munich from October 15 to 17, serving as a pivotal platform for collaboration between China and Germany amidst escalating trade tensions between Europe and the Chinese mainland.
With the European Union proposing new tariffs on Chinese electric vehicles (EVs), the timing of this conference is particularly significant. Stakeholders from both nations are coming together to navigate these challenges and advance their shared economic interests.
Earlier this month, the European Commission secured the necessary backing to implement the new tariffs. However, the proposal faced strong opposition from several EU members, including Germany. Chancellor Olaf Scholz and other German officials have advocated for enhancing Europe’s competitiveness through open markets, warning that additional duties on Chinese EVs could negatively impact both the German and broader European economies.
Against this backdrop, the conference is dedicated to strengthening the ties between China’s booming automotive sector and Germany’s established supply chains. Key areas of focus include innovations in EVs, parts manufacturing, and other advanced technologies that can drive mutual growth.
The theme of the event centers on carbon neutrality and the future of sustainable transportation. Both nations are committed to promoting greener mobility solutions, ensuring their industries remain competitive in the global shift towards cleaner and more efficient transport systems.
Deepening Cooperation
The collaboration between China and Germany in the automotive sector has intensified over the years. In April 2024, BMW Group announced a 20-billion-yuan ($2.81 billion) investment in its Shenyang production base, aiming to upgrade facilities and prepare for the production of new-generation models by 2026. BMW CEO Oliver Zipse highlighted the strategic importance of the Chinese market in the company’s move towards smart and connected vehicles.
Meanwhile, Chinese automakers are making significant inroads in Germany. Brands like SAIC's Roewe have entered the top 10 in German EV sales, with companies such as BYD and Great Wall Motor also securing top spots. NIO, another prominent Chinese EV manufacturer, established an innovation center in Berlin in late 2022 and has recently opened a smart driving technology hub near Schonefeld in the Berlin region.
German consumers are increasingly receptive to Chinese automotive brands. A survey by ADAC, Germany’s largest automobile association, revealed that nearly 60 percent of respondents are open to purchasing cars from Chinese manufacturers. Among those interested in EVs, a striking 80 percent expressed willingness to consider Chinese models. This growing acceptance underscores the affordability, quality, and rapid innovation of Chinese EVs.
Hildegard Muller, president of the German Association of the Automotive Industry, has cautioned against the dangers of rising protectionism. She emphasized that tariffs on Chinese EVs "would not only further increase the risk of a mutual trade conflict, but would also make vehicles considerably more expensive for consumers." Muller warned that in our interconnected world, collaborative efforts are essential for the sustainable development of global industries.
Reference(s):
Sino-German auto conference seeks cooperation amid EU trade tensions
cgtn.com