VW prepares to hand its German factories over to Chinese carmakers

[@electricviking]

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[@Worldpeace44444]

VW is lucky to have any takers at all.

[@SettledBatches]

And this propagandist is lucky to have viewers.

[@oceanwave4502]

Paradox of German car industry: + If they want to have German hands in everything regarding EV, the catching-up phase will be much more costly and lengthy (as China/Tesla had a headstart). + If they want to catch up with China quickly, they can integrate with Chinese supply chains. But then Germany added value (in EV) is less and less. Their ICE supply chain could vanish entirely and no job replacement.

[@ZweiZwolf]

VW wishes China would take their factories at book value, workers at existing salaries & benefits, but why would China pay top dollar for a depreciated asset with deprecated technology and sky high operating costs? It'd be far more efficient to let VW and the German government take the MASSIVE losses in closing those factories, then buying the footprint for a nominal 1 EUR and only hiring the handful necessary to run a modern, Chinese factory. Or better yet, let Germany collapse and expand factories in Hungary and other Eastern European countries.

[@APCSheet]

@@ZweiZwolf Jack Ma once said he will employ 1 million Americans, if Trump gives up tariffs. Somebody told him that Walmart alone employs 2 million people in China. why don't you check out how many people VW employs in China. There are no winners and losers in this game. They are all in it together.

[@TimeSeparate]

Exactly

[@APCSheet]

@@ZweiZwolf check out how many people VW employs in China.

[@amandagrant4331]

@@APCSheet Due to poor sales, some employees in VW's China factory have switched to other car companies (such as BYD).

[@APCSheet]

@@amandagrant4331 what percentage of employees is "some" and how does that percentage compare to the regular employee fluctuations? You see, I am an expert on Chinese auto industry. The good news is that I am cheap. So, if you need help, hit me up.

[@MatthewHendren-x9z]

A new dawn in the free world, we should see alot of changes really soon, especially in the digital and financial markets.

[@Watersbill89]

Spot on. The market presents different opportunities to create passive Income, with the right skill and proper understanding you're good to go.

[@PodologiaBarran]

Facts 👏

[@Miguelka67]

You're right, the best time to buy in the market is when there's fear. A huge part of my growth has also come during the bear market. This last year alone, I have scaled from 180k to over 354k.

[@JOEY-HUFF]

How were you able to make that much? Seems like I'm not lucky enough.

[@Miguelka67]

It's crucial for individuals to diversify their portfolios, a lot of folks downplay the role of advisors until being burnt by their own emotions. I remember couple summers back, after my lengthy divorce, I needed a good boost to help my business stay afloat, hence I researched for licensed advisors and came across someone of utmost qualifications.

[@Eric_4D]

I think a lot of problems with European cars that makes them less appealing is the price of basic servicing cost as well as the astronomical pice of mechanical repairs, this coupled with ridiculous rate depreciation ..

[@kenteo24]

Yes, adopting the 'upsell and upsell' fundamentals from the US in the form of hidden options and servicing costs might have worked when times are good, but it gets burdensome and tiring and insufferable during bad times.

[@eish3291]

I think depreciation is last on anyone's mind. More important is reliability and inexpensive spare parts making it affordable to operate. When that happens then depreciation takes care of itself.

[@StuartKarlson-qn8pj]

I couldn’t agree more !

[@JIMMY-nz1ld]

Remember the days they used to focus on making their products last longer and better, nowadays it's the opposite, they purposely make problems so they can make more money from the car owners.

[@webnplay]

But why are Europeans still massively choosing European brands over Chinese brands despite the higher cost or so-called unrealiability? I think we want to complain about prices and costs but deep down most Europeans don't trust the Chinese brands and I think that is a valid distrust. Chinese are known for cutting corners and the depreciation on Chinese brands like BYD in Europe are worse than the german brands.

[@amgguy4319]

Germany had a nice run. They even made some great cars. Not any longer. Mercedes, BMW, VW have all lost it. It's almost as if they chose the GM model of business...

[@dalecooper9942]

Yes. Time for Volkswagen to leave the stage gracefully. Too bad they hasn't become the world's largest car manufacturer as they had dreamed of.

[@ouethojlkjn]

BMW are making strides in the EV market but they are all suffering with the same mentality - going for the premium high ground. A very crowded place.

[@slavko321]

​@@ouethojlkjnThe problem is they need economies of scale to make cheaper cars but are halfassing it

[@piotrd.4850]

@@ouethojlkjn In case of BMW this is quite rational. Problem is different - EU regulations turn cheapest models in to medium-upper-premium by demanding some features.

[@OBrandt-i5c]

Has got nothing to do with the GM model of business. Has everything to do with sabotaging their fundamental energy costs, by forgoing their primary energy suppier, Russia, and buying gas at 4-times the cost from the US. They started extincting themselves a few years back, and seemingly it is working out really well for China.

[@macioluko9484]

VW was dead in 2017 when they laughed at Tesla’s deliveries.

[@brokeboy87]

Besides Audi and Porshe, VW hasn't been in the top ten manufacturers in over a decade.

[@stevenbarrett7648]

@@brokeboy87 I know of two Porshe EV owners, both cars seem to spend time in the dealership fixing recalls on a monthly basis, my Tesla has never been anywhere near a spanner in the 2.5 years of ownership. Sort of sums up German technology and build versus Chinese build

[@TroyArrandale]

@@stevenbarrett7648 4+ years in my model 3 - one set of new tires still runs like new.

[@richardcooley9730]

Nearly fifty years ago I visited a factory in Gemany for the forst time, it was clear even than that they planned everything on the basis that tomorrow would be a bigger, better version of today. It took longer than I thought.

[@PMI551]

Not at all a surprise. The auto market takeover is accelerating.

[@amiddled]

But is it, where are the Chinese car sales vs VW in USA?…. Nowhere is the answer

[@ZuulGatekeeper]

@@amiddled You need to start thinking in terms of a decade or more from now. Legacy automakers have seen sales plummet due to covid, recession & the uptake of EV's. Places like Europe have mandated the end of ICE cars by 2035 & legacy automakers are not keeping pace in pricing with dedicated EV makers such as Tesla & BYD. Take entry level EV's like the VW ID.4 it costs around 36,000 Euro's but it's competitor the BYD Dolphin is just 28,000 Euro's. Doesn't take a genius to figure out which one will sell more as the 2035 deadline approaches.

[@kristofvoros6120]

​@@ZuulGatekeeper The dolphin is nowhere near an id4 competitor... id4 almost twice the size...ID3 makes more sense and that car is way more refined as well. BYD couldn't even sell more than 3000 cars last year? Some say they are not doing well financially, and may need to cancel European plants...

[@ZuulGatekeeper]

@@kristofvoros6120 It's only 29cm shorter in length & 8cm shorter in width then the ID.4 they're almost identical with near the same specifications but for far less money. BYD is making inroads already building plants in Hungry & Turkey for the European market. BYD is projecting sales of 300,000 cars a year across Europe by 2026.

[@kristofvoros6120]

@@ZuulGatekeeper 29 cms is a night and day difference in automotive field...300000 is absolutely impossible, they haven't even started building their factory yet, and they have tariffs to pay as well. Their current lineup is absolutely incompetitive in Europe, they lose comparisons almost all the time. I think BYD expected much better sales, they are halting their investments.

[@fern8580]

in brief,Validated information: Producer price of the same product: in China = 100 , in Europe = 191, in the USA = 176 Source: Florent Menegaux (2025) President of Michelin Tires Competitiveness has deteriorated sharply in France and Germany since 2020. If we take a base of 100 for Michelin in Asia in 2019, we are still at 100 in 2024. In 2019, Europe was at 134, so we were 34% more expensive than in Asia, but it was manageable. Prices have remained almost unchanged, and productivity in Asia has compensated for inflation. By 2025, there will be 176 in the United States and 191 in Europe.* Michelin will stop exporting tires from the USA and Europe in 2025. Michelin has 121 production sites around the world and can really compare production prices in each country

[@aeromtb2468]

mark this date, the downward spiral will accelrate

[@christopherj2231]

*Accelerate.

[@zes7215]

wr

[@brokeboy87]

@@christopherj2231 This is an auto news channel, not a spelling/ grammar one.

[@christopherj2231]

@@brokeboy87 Settle down big-boy.

[@OmarAlkhalil1]

@@christopherj2231 There should be a comma after down to properly separate the address. It should be "Settle down, big-boy." Big boy does not require a hyphen unless it’s being used as a compound adjective before a noun (e.g., a big-boy attitude). The correct form here is "Settle down, big boy.". so its accelrate

[@ladygracienyc2029]

Manufacturing in Germany is not possible especially after the Ukraine war raised energy prices. And the staff sick-outs is insane. Better to manufacture in Hungary and export to Germany tariff free

[@ilovebarcelona9256]

🎯

[@christophreuter9572]

Nonsense, sick rate is the same as ever and energy price are on pre-war level. German brands missed the transition to EVs and spread massive propaganda against it. This is not the fault of the workers or unions. Thats a management decision.

[@dekik.979]

Chinese believe that the crazy political situation is not sustainable and soon we'll get back to cheep Russian energy . They gonna loose few years of income. That's what the crises are for, rich get richer, no mid class, poor go to slavery

[@iwanabana]

What the previous governments have sown in Russian reliance has now come back to bite.. *checks notes* not them and the entire younger generation of Germans.

[@isn0t42]

Ukraine war didn’t raise energy prices. EU raised energy prices for themselves. This is entirely self-inflicted, except for nordstream.

[@eliso5973]

It's a trap, Chinese EVs companies should turn it down.

[@RechargableBattery]

The Chinese are smart they'll make it work and VW will lose again even more.

[@wilba4ce-ichiban]

Agreed, use their factories, VW gets to potentially learn how EV’s are manufactured the Chinese way, learn of component suppliers, Software development, inside knowledge of new methodologies for manufacturing, organisational structures etc. without spending a dime on R&D.

[@markhampton3614]

​@@wilba4ce-ichibanyou are going to hurt some egos with that comment!

[@bearcubdaycare]

It might be second tier manufacturers taking it up. Tesla benefited by buying an old Toyota plant in Fremont California, early on. Cheap way to get an expensive asset as a growing firm, before building fancy efficient plants. Top tier companies are looking to build new plants where labor is cheaper than China, like Mexico, or where they get inside tariff walls, like Turkey (0% tariff to EU).

[@eliso5973]

@ I am more worried about Germany will do what US did against Chinese investors. Chinese EVs companies don't want to be ended up like TikTok or Alstom (France).

[@larryc1616]

What happens to Germany and Japan without their car industry?

[@mikexhotmail]

>>>Tank

[@SchlafComandante]

I bet they go far right and start making lots of weapons

[@ZweiZwolf]

Prolonged economic downturn. Germany could see a permanent 2-3% drop in GDP. Japan, too.

[@guslevy3506]

@@SchlafComandanteGet with the 21st Century. Today, the Right leaning ideologues of the world want to maintain their unique national and cultural characteristics. It’s the Left that wants to break these historical ties in order to force oppressive socialism/communism upon the people of the world…and they are the ones pushing for wars to attain it.

[@marcbachelet2322]

@@SchlafComandante Yup, like they did in 1920-1930s

[@thyristo]

So when VW acquired those 6.83% of XPENG it was just Volkswagen telling XPENG: buy me!

[@林振华-t4v]

😂Is it how it work? I need to write it down.

[@TroyArrandale]

Its a hail merry buying % of a company gets them a voice on the board, they then try and get the other company to work with them. They probably really need XPENG to build VW cars for China, and need XPENG technology for EVs in other markets.

[@laker6943]

When American Motors went out of business in the 1980’s they said that they lost an hour of every workday in the morning arranging the production line workers, because every day 30% of the workers didn’t show up, due to the different ways of paid time off.

[@gregarnot5066]

When I worked on the GM assembly line, I had two paid breaks of 15 minutes plus a 30 minute paid lunch break. I was paid 8 hours for 7 hour’s work. And the UAW went on strike because folks on the line wanted to go fishing The UAW bled GM like a Mongol warrior bleeding his horse

[@brianblackford2224]

@@gregarnot5066 Sounds like the UK car industry in the 1970s

[@postulatingspin4470]

Well deserved…Germans voted for it in spades!!

[@shakeyspizza01]

Mr. Sam is always spot on 🙂🙂🙂

[@vincenttayelrand]

I had my share of business deling in neighboring Germany and calling the Teutonic bureaucracy 'endemic' and 'massive' is quite an understatement. Some of the business I helped set up in Germany fled that country again in record time because of this. As to the 'sick' German workers. We went trough a similar thing in my Netherlands some 20 years ago. Quite often 'sick leave' is used by the employers as a more economic and humane means to get rid of their idle or unproductive workers.

[@borisdodgingbullets]

Well, that was quick!

[@DutchinBrazil]

Love the b roll and storytelling, helps me with my channel!❤

[@i.k.5822]

The situation in Germany is quite absurd, the difference between the working ppl and those on social benefits isnt big, no wonder ppl are taking as much sick leave as they can.

[@MichaelEilers]

When I worked with a marketing agency based in Frankfurt, I never had a meeting without at least one person out on leave or paid vacation. Near any kind of holiday, there would be 2-3 people missing. And we did no work at all in December and January, we didn’t even bother to schedule meetings with them. Twice a year we would have an “all hands” and that’s the only time no one on the team wasn’t out/missing.

[@NowayJose14]

ceos blaming workers and labor costs, feel like ive heard that before

[@stevenbarrett7648]

Yup, UK in the 60's, we handed it over on a plate to the Japanese with their superior Datsun's, even came with a radio for free !

[@BittermanAndy]

Sam falls for it every time, though, doesn't he? "CEOs think hydrogen is the future - because CEOs are stupid! CEOs blame lazy workers - because workers are lazy!"

[@glendavisl-p3w]

It's the product, build an urban micro car car. 20,000 and under, keep it simple and tuff. People have to live we aren't all rich.

[@glendavisl-p3w]

Workers need to be involved in the building process, not just putting parts on a car. People get lazy when they aren't inspired, being lazy is just an expression of boredom.

[@nellotesan9233]

Great show 👍🏁

[@TomTom-cm2oq]

Fantastic!! Thank you CP

[@CliveJennings]

I'm not surprised, when you know the origins of this maker, and its history, its just more of the same, of it's deception, no loss whatsoever

[@Sanya00007]

Good job guys!

[@andders2477]

Of course there will be VW factories in the future, they might be subsidied but the german will never let it stop, part of it is owned by Lower Saxony (state).

[@scotth6814]

So they're going to subsidize the German car industry while complaining that Chinese cars should be tarrifed because China subsidizes the Chinese car industry?

[@DavidFlores-g5d]

A university math professor told us (decades ago) that the German steel was of a quality second to no one. I went to a used car lot just to lift the hoods of several different auto brands and the hood of the Volkswagen, Tsi, felt the heaviest. Not an academic conclusion but in an automobile wreck I would chose the sturdier built car.

[@TroyArrandale]

Cars are being built with softer hoods to do less damage to pedestrians when they collide with them.

[@flukeylukey7559]

Second to no one, not special any more. Heavier is not better.

[@photobobo]

Why would a Chinese car manufacturer want VW's obsolete factories with Germany's stifling bureaucracy, sky high labor costs and inflexible unions?

[@Andrew-Lee91]

But keep in mind, this does only refer to the two factories in Dresden and Osnabrück. The two that don't produce enough at the moment and therefor will be closed. There is no plans on selling other factories in Germany....

[@TabLet-nc3lf]

This is the beginning of the end..... It allways begins with such kind of little steps...

[@aleaiactaest8354]

Probably a good thing if Chinese come with their super modern and effecient factories. Europe needs to upgrade in more then one sector.

[@dougsheldon5560]

Better to sell them than just write them off.

[@frostcb2]

Keep up the great work!

[@novainvicta]

The official figures for the German car industry is it represents 19.3% of the total German GVA including suppliers. That still means just over 80% of there GVA comes from other industries such as chemicals, engineering, pharmaceuticals, food etc they are not about to go bankrupt as a country.

[@demo3003]

They knew what they were doing when they blew up the gas line. All going to plan

[@Henrik1966]

Dear Sam, It’s indeed very strange new times and here in Germany 🇩🇪 (where I’m living as a Dane 🇩🇰) it’s clear, that on one hand it’s scaring German car manufacturers, but on the other hand it also seems (at present at least) that the general German consumer is still kind of shell-shocked and thus not capable to believe this is really happening, and that it can (most likely) not be changed to the better. And I for one don’t really know ehat to predict will actually happen the next 2-3 years and how this will affect all of us living here … 🤷🏼‍♂️

[@heyjo3417]

Electric Viking the dude who was praising NIO

[@BarryMakariou]

I have a Tesla model Y wife bought id4 same time 2 years ago. Within a few weeks of owning both it was clear why the Tesla is way more efficient simply comes down to weight. Every aspect of the id4 is heavy the bonnet alone must be x3 heavier than the Tesla which weighs next to nothing. Tesla are achieving great range with small batteries because of this.

[@dieselfunk65]

That light weight can also work against you in the event of an accident. And given Tesla’s insane high performance compared most other EV’s I’d say a Tesla owner is far more likely to be involved in a serious accident compared to an ID4 owner. I’d rather own your ID4 than your wife’s Model Y. 😁

[@ouethojlkjn]

@@dieselfunk65 The real issue is the same as it ever was, how much does it cost and how much to run. ID.4 are not selling in any real numbers because they are over priced for what they are, everything that is an extra on an ID.4 (like efficient heat pump) is given as standard on a Tesla Model Y. Your comment about accidents very much depends on where are you are In the scenario. As a pedestrian I would rather not be hit by a light Tesla where its collision avoidance systems actually work rather than a heavier ID.4 where they do not.

[@GreenIsland38]

A smart decision by VW of Germany !

[@Phillip_Reese]

We had riots in 1968, many manifestations were about climate change, but mainly about environment. Rich people are limited, they only think about profits, so Germans and anyone else had suficiente time to adapt and move on. German with their Russian affairs was the best deal possible in Europe, time to settle down, we will have many immigrant Germans soon. Worse that them? We in the UK.

[@wayneo7220]

Come on Brussels, it's just a matter of making more regulations to correct things.

[@kiyoshitakeda452]

If the problems are serious enough they will find a way to adjust. Applies to the business and workers. New reality means new rules for all.

[@MichaelEilers]

Hard to believe that so few countries have incentives to scrap older cars. You’d think that governments would be all over this as well as auto industry lobbyists, creating incentives and cash rewards for taking an older car off the street permanently. This is a win for the industry and the environment. There should also be strong incentives for lease vs buy, so that dealers get the car back and then can decide to scrap or resell it. We need to clean the streets of old, polluting cars as fast as we can.

[@Darren-r9b]

So you have intellectually bought the green deal? Our CO2 is 0.04% if it goes to 0.00 we are all dead.

[@MichaelEilers]

@ wow, please put the brain down and step away, you aren’t qualified to actually use it.

[@MichaelEilers]

@@Darren-r9b put the brain down and step away… you’re not qualified to be using it

[@fastfil]

@@Darren-r9b C02 to 0%? Is that a likely scenario? Why even bring it up?

[@Darren-r9b]

@fastfil my comment was a little bit scarcastic. Get a helmet if my words don't make sense to a condescending f/OOl.

[@InformedKiwi]

BYD are building a big Factory in Hungary. When completed they will be able to produce large quantity of well priced EVs tariff free and built either competitive Hungarian labour. There are other Chinese car manufacturers following BYD. None of them will have factories in Germany. The flood of Chinese vehicles is coming

[@markallen4514]

Sam: the only place Chinese have a big edge is in labor cost. This is why Tesla has been going headlong into robotics. Unlike the competition with Japanese companies in the 1970s, the American and EU companies are building cars the markets want. The the EU/USA cars are just more expensive. In 10 years (and maybe as few as 5) the Chinese labor advantage will be gone. China knows this which is why they need to establish themselves immediately. hence the big push by Geely and BYD even though it creates a scary amount of debt and actually depresses profits.

[@kevinconnell8602]

As with the US in the 80's when they rebadged Isuzus, Mitsubishis, and Mazdas as Chevrolets, Dodges and Fords, perhaps VW will rebadge BYDs and Geelys as EVs.

[@ouethojlkjn]

That already goes on in China. But now Audi is having to drop its badge as it is seen as a sign of unreliability.

[@glennjarvis7286]

2 words: Nordstrom Pipeline

[@michaelw.8614]

How are the Chinese companies going to handle german employees who constantly strike, call in sick, and where working 40 hours a week is considered the max. Really? If I were BYD, I would set up where unions aren't so radical.

[@kenbehrens5778]

Michael. Nothing wrong with workers getting benefits. It is they who are making the cars, and profits, for the owners. In it's heyday VW's German workers were paid twice as much as auto workers in US. The company still made huge profits. That was before EV's. Now China speed is overtaking everyone.

[@Lost_Johnny]

I thought the same thing. By simply assembling in Germany?

[@fatdoi003]

as long as production cost does not exceed the 18% tariff....

[@daz9402]

Easy, bring in the robots.

[@thethirdman225]

It's pretty straight forward. You're not allowed to replace workers with machines as things stand. However, the VW factories are old and different techniques are needed for EV manufacture. I'd say it's almost certain that different wings of the factory would be closed and demolished to make way for a new factory with a mostly automated production line.

[@ranchuhead4547]

Should be joint venture like the Chinese model

[@thescouselander5531]

Interesting but it doesnt matter who owns the factories - manufacturing in Europe is too expensive because of energy and labour costs and regulation. The idea that Chinese companies, who are already losing money hand over fist, are going to take over and make it work is absurd.

[@fern8580]

@th You are right, it will be module assembly in France & Germany , designed, developed, in China.

[@InformedKiwi]

Tesla received a big subsidy for the land to build its Shanghai factory.

[@mickzed6393]

So why could the Chinese build much cheaper in Germany with the same people and bureaucracy?

[@mariovegas5699]

Because all they will do in Germany is assembly. Cars will come from China in parts and will be only assembled in Germany. These will not be German cars

[@stevenbarrett7648]

They won't they will automate and de-unionise

[@Mortum_Rex]

@@mariovegas5699 News flash. most of the parts haven't been built in Germany for a long time. This is just a natural transition. Shipping costs to Europe will offset the labour cost of Chinese manufacturers.

[@mariovegas5699]

@ Yes, but we are talking about mostly electric cars production in this case, which requires very few parts compared to currently manufactured gas powered vehicles.

[@Mortum_Rex]

@@mariovegas5699 Once they're established they can produce whatever they want. German manufacturing is in no position to argue, and increasingly so.

[@jbo1588]

great information !

[@danieldornes8416]

If Chinese car makers start building in Germany, won't they have the same problem with workers calling-out sick , and also having to pay the high German wages? (I remember your video last year when VW was negotiating with the union, and I thought the average factory worker was making the USD equivalent of $150K or something like that.) I wonder if the high wages and unproductive work culture by workers calling-out sick would more than out-weigh just paying the tariffs?

[@jonitan76]

yes those chinese car made in german will not be cheap. and uncompetitive. it's a huge risk. the chinese ev should make their car in eastern EU like poland, hungary etc

[@ZweiZwolf]

They will. Better to let VW and the German state spend the big money to close the factories, deal with the workers. Then expand operations in Eastern Europe.

[@paul9874]

VW workers will no longer have a job. BYD would be a new company and can hire new workers. There are hundreds of thousands of immigrants in Germany that would be happy to make $20 an hour and not have a union.

[@souperkev]

Chinese EV production is highly automated, so even if they are paying high wages the overall headcount and overheads will be significantly less

[@waynerussell6401]

Chinese workers will come, just like the Turks did to staff the auto lines.

[@markmeachen6927]

Here’s the thing, if we truly are entering an age of abundance, there will be ever more people on permanent leave. They just won’t have to say they’re sick!

[@stevenbarrett7648]

That's what they must mean, there will be an Abundance of Humans !

[@Jamessansome]

There will have to be a universal basic income and people will work on average fewer hours.....

[@Simonio8]

After that last part of your video, it's a wonder why Chinese would want to buy those manufacturing plants at all, probably be cheaper to scrap it and build an modern efficient plant instead.

[@headpump]

Whenever fantasy confronts reality, reality wins!

[@jimidando]

German automakers should concentrate on the future and provide their production lines to the making of top tier German humanoid robots. It would also solve some of the lack of workers problem. As a German who always tries to go to work, even when sick. I really dislike that Germans are basically sacrificing the countries economic wealth for their personal laziness. It's just too easy to get a sick leave here. 😶‍🌫️Sry fellow Germans but I like my job even like staying longer. Wish I would get the money for it but it's OK.

[@simontrumble7630]

This story has been corrected to show that the company spokesperson said Volkswagen CEO had spoken to partners about their European expansion plans, not about acquiring VW plants - Reuters

[@ouethojlkjn]

European expansion is still VW handing over factories to other Chinese Competitors. It is just a spin on words to fool the mugs.

[@kneekoo]

Germany is so deep in bureaucracy that it would take a few miracles back to back to shake things off in the right direction.

[@10lauset]

Besides your channel, I watch car repair channels on YT. It is very evident why Western car manufacturers lose market share even if prices match. ICE car are exceedingly complicated and convoluted with inferior quality parts and the like. Watch the Car Wizard, Dave's Auto Center, Scotty Kilmer for vehicles for example. These are people who repair ICE vehicles. Watching them leads me to wonder why anyone buys them AND at ridiculous prices. These auto makers price themselves out of the market even if they're the only game in town. They made their own bed.

[@scotth6814]

Western car manufacturers want to keep building ICE cars BECAUSE their dealerships make money fixing them. They don't want to sell EV's because there is rarely anything to fix. I once owned an American car (Chrysler). I was spending so much money fixing things every month that it became cheaper for me to buy a newer Toyota. In the 20 years that my parents and then I owned that car, we spent $100 on repairs to it (an emissions pot), other than gas, oil, and tires.

[@Que.96]

this is truly heartbreaking. i love Germany.

[@NullHand]

Used to own/drive VWs back in the last millennium. Diesels mostly. Went auto comparing in the oughts only to find that their new diesel engines had put the water pump on the timing BELT. I was dumbstruck. I could not believe that Germans, renowned for over-engineering reliability into everything, could constitutionally allow themselves to engineer that much needless FAIL into a Diesel Engine! They invented the damn things! Engineering at VW died long ago. This is overdue. Just how far the rot spread to the rest of German engineering is the only question.

[@toma.2156]

In interesting to watch how dark outlooks vw has in your videos. When you go to vw press releases then the outlook is very optimistic and vw even "ready for the future"

[@ouethojlkjn]

VW Have to keep two hundred billion plus of someone else's money sweet somehow.

[@Bawdale]

Tesla did get free land and tax to attract them to the Shanghai state in China.

[@douglasvoncannon3073]

Coming to the US at wrap speed.

[@KangoV]

You are so pro Chinese EV, you should be happy.

[@JohnHaveaguessGoogle]

How would this move make the cost of energy/labour cheaper in Germany? It doesn't.

[@johngallagher8527]

Sammy, happy Year of The Snake Lunar New Year for peace ☮️ and prosperity to you and the VW union workers and group!😂😂😂

[@bigeye4520]

So VW wants Chinese to hold the bag for them?

[@epessoarocha]

They will not build cars, only assemble it. Just needed people to push buttons. That's fine. Win+win situation.

[@nightstorm9128]

What do you think the word Assemble means,,,,

[@epessoarocha]

@@nightstorm9128 what BYD is doing in Brazil. Just come all the parts in CKD in containers and just tight the wheel bolts and place the seats. All the other parts are ready to go. Just the Bolts and seats are "Made in Brazil". That's what I mean. And it's good. BYD cars are great and very cheap and reliable compared to cars made here in Brazil.

[@denniss1211]

VW should bring back the CEO they fired !

[@ArizVern]

SIMPLE, TAKE AWAY EMPLOYEE SICK DAYS. IF YOUR SICK. 1) CALL IN, DON'T GO TO WORK. IF YOUR SICK EVERY FRIDAY, YOUR FIRED. 2) IF YOUR SICK A LOT, SEE DOCTER... 3) IF YOUR STILL SICK A LOT, YOUR FIRED.

[@simonpannett8810]

Logical progression! Interesting as to how Chinese deal with labour laws?

[@fwmack1]

stranded assets a major issue in many parts of the transition

[@richardhe5973]

Chinese workers would likely do the work of around 3 German workers, especially if the work isn't too technical. Eat less and sleep less too. We're all used to it. It isn't healthy though

[@exlipse123]

Cut the jobs for the people that would use their salary to buy the cars you produce. "Nothing bad will happen, we will restore profit!"

[@ouethojlkjn]

Sadly I have to agree with you, especially about keeping technology from evolving. It was a nice cosy closed German Auto Shop and now the hallucinations don't wash any more.

[@matthewholzmueller6292]

I wonder if China could use this as a stepping stone to the North American market, particularly USA.

[@harisoepangkat6085]

That's unreal! Chinese could only build EVs and not ICE cars. VW factories were built for ICE cars. The Chinese must spent billions to renovate those factories for putting in EV assembly lines which require much less workers. Can German Worker Union accept that? And don't forget, EU will come in to slap all kinds of environmental rules so that the Chinese will spend years just to face EU.

[@billwedeking797]

It makes sense for German Auto makers to partner w Chinese Brands. "If you can't beat 'em, join 'em."

[@travisjazzbo3490]

Tesla has been saying for a long time, it is the FACTORY that is the real value. They have understood, and so has the #1 manufacturer on the planet, that producing goods more efficiently is where it is at, and dealing with Unions who don't understand this concept who drag companies into the ground will suffer the most. It is not the least bit unusual in the history of time that formerly extremely strong legacy companies that manufacture stuff are complacent about keeping up with technology to be more and more efficient. Most of the big wigs are enjoying huge salaries and bonuses and riding the wave of 'don't rock the boat' until the boat sinks to the bottom of the ocean. This is why Tesla has so much diversification. Even they know they can't beat China and other developing countries on pure price

[@konstantinzaslonov1357]

When Germany sends its battle tanks to the Kursk region, it's not going to end up well for Germany

[@SuperSimpleSam]

Good! They priced themselves out of the market. Their services are super expensive. They don't fix they replace and their parts are super expensive!

[@ien2023]

Mmmmm My friend just got a job in Germany and he said the opposite where cost of living is better, better benefits, better pays than American. I guess he'll find out.

[@holgerh64]

Ok, I am waiting for my Mercedes EQB 250+ to be delivered :-) It is a Company car, and if you are interested, what cars and options I can choose from and what costs, please let me know. Well, if Chinese manufactures will produce cars in Germany, things are not that desolate here ;-) Greetings from Düsseldorf

[@ouethojlkjn]

Tesla is certainly a success with their factory in Berlin. There is no reason to suggest Chinese auto will not do similarly well. The problem Germany has is selling their products to the rest of the world. It is anecdotal but a colleague of mine had a new Mercedes SUV in 2023 (it was a 2 litre diesel) and he was not at all happy. The car died when his wife was driving it and had to be recovered, various other problems - mainly with the large centre screen. After seven months he handed the car back and refused to drive it any more. He lost trust.

[@marc-1661]

China figures the elevated cost to do it is the entry ticket and once BYDs are in Europe it will be harder for America to continue to try to isolate China.

[@garymenezes6888]

Humanoid robots will fix the absentee workers problem

[@bryanmurphy3328]

If factories can be idled they are basically a liability not an asset . It makes sence to sell them to potential overeseas buyers and to form a joint venture to access advanced technology that this will ensure. Many countries including Germany have foreign companies operating on their shores. As an advanced manufacturing economy it is expected that China will inccrease its global manufacturing footprint.

[@JohnCap523]

How does the $6B investment by VW in Rivian make sense now?

[@bigrobsydney]

I don't know why China would do this. They will weigh up the option of importing with tariffs versus taking on a less efficient manufacturing environment as far as costs go, but also will they really want to help keep competitors alive? Far better to pretend to be the saviour, but actually gaslight VW at the last moment, let it go bankrupt, and then come in later to sweep up the consumer base all for itself. That's the competitive landscape. And just look at what happened in Australia by way of example. We HAD manufacturers here, but costs were too high, so they all went bust. Now we have no vehicle manufacturers of note (yeah, a few small players, but nothing like the big manufacturers of days past). Jobs lost, incomes lost, taxes lost. Instead, we now have imports as our sole supply. Added to that, when everything goes EV, stealerships will have vastly reduced revenue streams from "maintenance." And government could have done a lot more, but abjectly failed. Money was given to some manufacturers, who took the money quite happily, but then disappeared not long after. Controls were not put on the funds given, so what do you expect? Our governments are incompetent, look only to tax the hell out of whatever they can, backed by a taxation office that does not follow the principles of innocent till proven guilty. Frankly, its the other way around. What a disgrace this economic environment has become. That's Australia. Germany appears not too far away from this either, judging by the way their unions and government behave.

[@thethirdman225]

*_"Far better to pretend to be the saviour, but actually gaslight VW at the last moment, let it go bankrupt, and then come in later to sweep up the consumer base all for itself."_* It hasn't happened yet. Sam is reading between the lines. He may well be proven right but there's not enough information to go on yet. *_"And just look at what happened in Australia by way of example. We HAD manufacturers here, but costs were too high, so they all went bust. Now we have no vehicle manufacturers of note (yeah, a few small players, but nothing like the big manufacturers of days past)."_* No, that's not true. Nobody went bust. Not in the last 20 years, anyway (Tomcar excepted). Like every other country which manufactures motor vehicles, there was a partial government subsidy, without which they would not be sustainable. Australia was among the lowest in that regard, i.e.: we did not give them the same support they got in most other countries. When the Abbott government was elected in 2013, they proposed dropping the subsidy, which made it uneconomical for those companies - only Ford, Holden and Toyota remained - to continue. The subsidies they got were in the form of tax concessions and government fleet buys. *_"Money was given to some manufacturers, who took the money quite happily, but then disappeared not long after."_* Really? Who? *_"Our governments are incompetent, look only to tax the hell out of whatever they can, backed by a taxation office that does not follow the principles of innocent till proven guilty."_* Given how far your story diverges from the truth, do you think it might be you? We were a small market. The government didn't tax them out of existence and they weren't the victims of strikes. Their factories were mostly way out of date and Australia was a very small market. I went through GM at Fisherman's Bend and Toyota at Altona. Even Toyota was old but GM was like something out of the industrial revolution. *_"What a disgrace this economic environment has become. That's Australia. "_* It's every neoliberal democracy.

[@Riannu-i8x]

Australia is a very small market. Local australian manufacturers must export to survive,l. Its easy to understand why manufacturing goods in australia is hard. But Germany is well populated, has a large compact market, and is s member of an ever larger market called EU. There are always some advantages in coming to accommodation with Germany or France even if both nations are inefficient and expensive to manufacture

[@bigrobsydney]

@@thethirdman225 Matey, you're taking literally one word (bust) and extrapolating. I used that word as a literary conceit, sure. But the fact is, as you should well know, that all the manufacturers have stopped manufacturing. The point is, they were unable to exist in the marketplace, and therefore stopped manufacturing, as they had been doing for decades. As for who, you also should be aware that Ford Australia was assisted. How does my "story" diverge so far from the truth, when there is literally one word used for effect, out of the entire commentary that you disagree with (clearly, being unused to literary work...)? Perhaps educate yourself on how some people write for effect, before embarking on being some apparent kind of government shill next time?

[@thethirdman225]

@@bigrobsydney Reread my reply. For the record, I was indirectly involved. In short, I was a lot closer to it than most people. I suggest you actually look up media reports from the time, rather than blaming me and trying to give me advice on how to write. It was as I said it was, not as you claimed.

[@bigrobsydney]

@ The only thing of any merit you wrote, is that some manufacturers got partial subsidies. The rest is an uncritical attack on an unidentified conceit. Given that I already said "Money was given to some manufacturers", what, exactly, have you added to the discussion, besides exemplify your own ignorance, while trying to leverage an experience from decades ago as if it matters? No one cares about whether you were a part of that failed experiment.

[@anthonytruta2745]

I feel sorry for all the employees that got screwed by stupid government mandates. and vw and other auto manufacturers followed these stupid mandates without question. WOW! These idiots need to be held accountable ! Greed decreased your I.Q. for sure.

[@QWERTYUio-p4t]

Sounds like the fall of the Weimar with arabic summer …combined 😅

[@CrackHead245a]

Welp Germany biggest mistake was trust US and EU...now Germany auto goes down to history😂😂😂😂😂😂😂😂

[@robbietorkelsonn8509]

remember .. the government decided this

[@vilester]

When your energy price is sky high due to sabotage. Germany is done for. If I was the Chinese why try save something that can’t be saved.

[@ouethojlkjn]

The EU sabotaged themselves. And nordstream was blown up by the USA.

[@flukeylukey7559]

Maybe the German government should buy back VW, create a new union, introduce fixed price cars sold online like MB. Sell Skoda and Cupra, sell the rest of porsche but keep Audi as their premium brand. Use Xpeng software. Just a couple of things to do.

[@nakatanakata2665]

Question is - will the USA let them hand over their factories.

[@Fritzaltman3778]

Given that VW will Face a Desaster in China in the Neal Future, the Stock Price is still optimistic