The summit is taking place at a delicate time – just ten years before the planned ban on the sale of new cars with combustion engines in the EU from 2035. This ban is intended to be the main impetus for change, but at the same time it is causing tensions between politicians, manufacturers, and trade unions.
Merz does not want Germany to “fall behind”
On October 9, 2025, an automotive summit will take place in Germany. Public broadcaster DW reports that it will be a meeting of politicians, automotive executives, and trade unions in Berlin. The summit, which will also be attended by Chancellor Friedrich Merz, is taking place amid a crisis in which the automotive industry is struggling with stagnation, mass layoffs, and the difficult transition to electric vehicles. The meeting will focus on issues concerning the future of the automotive industry.
The main goal of the negotiations is to protect the competitiveness of German manufacturers in times of increasing competition from the US and China. According to government sources, measures to promote electric mobility, stimulate innovation, reduce costs for manufacturers, and protect jobs in sectors transitioning to electric powertrains will be discussed.
It is expected that major manufacturers such as Volkswagen, Mercedes-Benz, BMW, representatives of the IG Metall union, and the German Association of the Automotive Industry (VDA) will participate in the summit.
According to media reports, Chancellor Merz will call for Germany to remain a “pioneer and not a laggard” in the field of automotive conversion. He is emphasizing the need to strike a balance between environmental goals and industrial sustainability.
A significant part of the summit will therefore deal with the costs of the transformation – how can investments in electrical technologies, battery factories, and charging infrastructure be managed without jeopardizing jobs and the profitability of companies?
EU regulations and emission targets, which have long been criticized by the industry as too strict, will be discussed. While representatives of trade unions (e.g., IG Metall) point out that the summit will be nothing more than a symbolic gesture if the government fails to present concrete results, the unions are calling for a clear plan to protect jobs and retrain employees in the changing companies.
Political tensions and division within the government
Domestically, the summit is taking place at a time of growing tensions within the German coalition over environmental and industrial policy. Some factions within the government are pushing for a faster transition to green technologies, while others warn of Germany's “industrial weakening.”
This conflict is also reflected in the disputes between the federal government and the states where the most important automotive plants are located (Bavaria and Lower Saxony). In a statement, the German Association of the Automotive Industry (VDA) points out that the industry “has already reached the limits of its ability to absorb new regulations” and needs stable framework conditions for innovation.
