More than 400,000 jobs could be lost in Germany over the next decade as its auto industry shifts towards electric vehicles, according to a government-sanctioned report that underlines the wrenching change facing Europe’s largest economy.
In a worst-case scenario, Germany’s workforce could shrink by almost 1 per cent by 2030 if carmakers such as Volkswagen and Daimler are forced to rely on imports to meet targets for electric vehicle sales. The vast majority of vehicle batteries — the most valuable component of electric cars — are manufactured in Asia.
The rapid shift away from the combustion engine, spurred by increasingly stringent EU emissions regulations, will be “accompanied by a profound change in terms of value creation”, warns the study by a focus group from the National Platform on Future Mobility (NPM), which included executives from carmakers as well as suppliers such as Bosch.