Automotive Industry
Germany's engine: facts and figures for the automotive industry
In 2019, German carmakers produced more cars than France, the UK and Italy combined.
Cars produced per country (in million)| 0.86 | France | million cars produced |
| 1.75 | Spain | million cars produced |
| 0.48 | Italy | million cars produced |
| 3.5 | Germany | million cars produced |
A business-friendly environment
Germany is the ideal location for R&D in the automotive sector. Here you will find the best talent and excellent infrastructure. Thanks to its innovation and research efforts, Germany is becoming an even more attractive design and R&D location.
Hui Zhang, managing director, NIO Germany GmbH
Join the electric future
The e-vehicle market in Germany enjoys enthusiastic government support at the levels of research funding, infrastructure, and subsidies for buyers. Add the innovation by German OEMs and Germany becomes a healthy breeding ground for e-mobility technology and market for e-vehicles.The number of AC charging stations is set to increase to 1 million electric vehicle charging stations by 2030.
Policy in Germany
Policy in Germany favours innovation in electric mobility, creating ideal opportunities for investment.Company car taxation
Improvements to the Annual Tax Act of 2013 will balance out the cost difference between traditionally more expensive electric vehicles and conventionally powered vehicles regarding company cars, removing the income tax disadvantage of going electric.Income tax exemption
Employees who charge vehicle at a workplace at no cost are income tax exempted for the benefit.Vehicle tax exemption
A PEV motor vehicle tax exemption of 10 years for those registered by 2015; 5 years for those registered between 2016 and 2020.
To meet the target of 1 million electric vehicle charging stations by 2030, the German government has issued schemes that offer subsidies and tax benefits at both the national and regional level.
Germany leads in automotive innovation
A priority industry
Germany's automotive industry accounts for one third of the country's research and development expenditure.R&D leaders
Germany's automotive sector leads all other nations in R&D facilities per capita with 114,000 R&D professionals.Supporting innovation
Nine of the top ten patent filing companies in Germany mostly work with the auto industry.21 billion
Follow the money: German carmakers invested EUR 21 billion in innovation in 2016.
A strong workforce
The auto industry is the most popular career path for engineering students in Germany. Add to that Germany's dual educational system - classroom and on-the-job training – and you have a skilled and prepared workforce at the ready.
The best location for FDI
Germany has a large network of organisations to support you in your venture in the automotive industry. Get in touch to learn more.