The automotive industry is the largest sector of the manufacturing industry. It is by far one of the most important industrial sectors in Germany. Companies in the sector generated sales of almost 500 billion euros in 2019. With almost 1 million employees, the automotive industry is very important for the economy. Vehicle and engine manufacturers account for the lion’s share of sales. Automotive suppliers generated just under one-fifth of industry sales, while manufacturers of bodies and trailers accounted for just under three percent. Two thirds are generated abroad, especially in countries outside the European Union.

The value chain of the automotive industry is largely differentiated. Manufacturing requires that parts, components and raw materials be purchased. Industries that at first glance have little to do with automotive engineering are involved and benefit from it: Capital goods, material and parts supplies from the chemical industry, the textile industry, mechanical engineering, the electrical engineering industry and the steel and aluminum industry, among others. In addition, engineering firms, car dealers, workshops and service stations, as well as other car-related services, are directly or indirectly dependent on the automotive economy.

In the transport sector, electromobility is heralding a technological turning point. Electrification of powertrains offers the opportunity to reduce dependence on oil, cut emissions, and better integrate road vehicles into a flexible transportation system of the future.