Trans-century Chinese-German auto cooperation finds new ground

MUNICH, Germany -- In the 1980s, Germany's Volkswagen (VW) was among the first foreign automakers to invest in China, a decision that preceded the astonishing growth of the Chinese auto industry over the subsequent decades.

Today, as China emerges as the largest auto market globally and a leader in electric vehicle development, Chinese and German automakers are jointly exploring ways to enhance their long-standing cooperation, which can potentially shape the future of sustainable mobility worldwide.

Approximately 400 representatives from the auto industries of both China and Germany attended the eighth Sino-German Automotive Conference, where themes like "carbon neutrality and future mobility," global industry transformation trends, and cooperation opportunities and challenges were vigorously discussed.

This conference took place at a time when China is making good advancements in new energy vehicles and creating remarkable opportunities.

Uwe Kurt Fritsch, a former member of Volkswagen's global board, shared with Xinhua that he was impressed with the conference speeches' emphasis on "international cooperation."

People from the auto industries in China and Germany are obviously trying to find new cooperation opportunities in digitalization and sustainable transformation, hoping to continue their successful win-win collaboration in the automotive sector, Fritsch observed.

A consensus emerged regarding the unprecedented changes occurring in the global auto industry and the need for breakthroughs. Despite challenges, attendees showed confidence in the prospects of future cooperation as they identified common ground.

Zhai Qian, minister of economic and commercial affairs at the Chinese Embassy in Germany, emphasized in his speech that cooperation in the auto industry has always been a highlight of Sino-German relations.

He reflected on how the entry of German automotive companies has significantly contributed to the modernization of China's automotive industrial system, while China's open market environment has provided German firms fertile ground for lucrative and sustainable growth.

He also noted that emerging Chinese automotive companies are increasingly deepening their collaboration with German partners.

German companies, including leading auto parts supplier Continental AG, which established its presence in China in 1994, have become deeply integrated into the market, setting up 23 production bases and 28 R&D centers. As the world's largest automotive market, China presents limitless potential and opportunities, making it one of Continental's key growth engines, Yang Chengzu, vice president of Continental Group China, told Xinhua.

Through partnerships, Continental can better understand the Chinese market and consumer needs, providing strong support for expanding into overseas markets, Yang explained. Additionally, the company can capitalize on the rapid development of innovative technologies in China to apply successful local product solutions to more international brand models, which will in turn expedite the development of the global auto industry, he said.

Given the deep integration of the Chinese and German auto industries, the conference serves as a crucial platform for promoting cooperation between the two countries, said Yu Guangsheng, deputy director-general of the Investment Promotion Agency of the Ministry of Commerce (CIPA). It enables companies within the automotive supply chain, particularly SMEs, to efficiently access industry information and explore investment and collaboration opportunities, Yu added.

Frank Klaas, vice president of Communications for Geely Group in Europe, emphasized the benefits of globalization for industries and enterprises, noting its role in breaking down barriers between regional markets. "We look forward to continuing to tackle challenges together in a globalized environment," he said.

Ferdinand Dudenhoeffer, a renowned automotive economics expert and director of the Center for Automotive Research (CAR) in Bochum, told Xinhua that he was pleased to attend the Sino-German Automotive Conference again and engage with industry professionals from both countries to discuss the latest developments in the sector.

"German and European companies have rich experience in automotive manufacturing, brand building, and international development, while Chinese companies are leading the technological development of future vehicles, especially in areas like batteries, artificial intelligence, and automotive software," he said.

"If we can join forces, it would result in a win-win situation for both Europe and China," he added.