Part 2/4:
The reasons for this decline are multifaceted. Firstly, the Chinese economy is struggling, leading to a drop in demand. However, the bigger issue is that the German carmakers are falling behind in the crucial areas of electric vehicles (EVs) and digital technology. More than 50% of all cars sold in China are now EVs, and the German manufacturers are simply not keeping up with the competition, especially the local Chinese brands.
This puts the German automakers in a very difficult position, as they will have to fight an uphill battle to regain their footing in the Chinese market. The transition to EVs and digital features is crucial, and the German companies are lagging behind.