German goverment supports car industry transformation with investment programme

Automotive Industry

Source: Clean Energy Wire, 2021-02-19

The German government has launched a support programme worth €1.5bn to help the car industry become more environmentally friendly and digitalised. The initiative, which lasts until 2024 and is part of Germany's economic stimulus programme to cushion the effects of the pandemic, is dedicated to supporting investments in the areas of autonomous driving, digitalised and sustainable production, development of data-driven business models and the switch to alternative drives, the Economy Ministry said.

"We are making Germany fit for the future as an automotive location and securing good jobs and digital know-how in the German vehicle industry," Economy Minister Peter Altmaier said. "Small and medium-sized supplier companies in particular can benefit from the funding and drive forward the mobility of the future with innovative technologies."

The programme has allocated €600m for this year. "Due to the many enquiries received so far, a large number of projects can be expected in the near future," the ministry said. It added that a further million euros in support payments will be available via a "future fund automobile industry," which is currently being designed and geared towards "addressing the medium- and long-term challenges of the car industry."

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