you are viewing a single comment's thread
view the rest of the comments
[โ€“] 0 points 1 day ago (3 children)

I agree this is the case for defense industry including industries the defense industry needs. But the rest? Why does Germany need such a big car industry in a world where China has learned to build cars (even better ones) themselves (and it was absolutely foreseeable that this would happen) and the US goes full protectionism (ok this one was less foreseeable)? Trying to keep that alive is a waste of resources.

  • source
  • parent
  • hideshow 3 child comments
  • [โ€“] 1 point 1 day ago* (2 children)

    It is not a waste of resources to produce things locally. Transporting everything, including trivial industrial goods half way around the World is a massive waste of resources, and is highly vulnerable to accident (see Ever Given being stuck sideways in the Suez Canal), natural disasters (see CoVID leading to the closure of most Chinese sea ports), conflict (see current events in the Middle East), and shifting alliances. Especially with a virtual monopoly on outsourced industrial production, China has acquired a position where it can blackmail pretty much the entire World by simply enacting an embargo.

  • source
  • parent
  • hideshow 2 child comments
  • [โ€“] 1 point 1 day ago* (1 child)

    I didn't say Germany should not have a car industry at all. I said the size the car industry Germany currently has should not be artificially kept up. Of course cars bought in Germany/Europe should be produced in Germany/Europe.

    The whole "Exportweltmeister" (export world champion, a term proudly used by Germans for a while) thing was never sustainable. Unfortunately voters think its the Greens/Energy transitions/whatever fault the whole thing comes crashing down now.

    (That being said, cars are a waste of resources wherever they are built)

  • source
  • parent
  • hideshow 1 child comment
  • The German car industry is a prime example of how greed ruins sales. The decline of their quality started in the mid 1990s, and has a name: The Lopez Effect. After the CEO of VW back then who did famously increase profits by systematically decreasing product quality, and coercing parts manufacturers into unsustainable low pricing.

    On top of reducing their quality, they re-focused on the international upscale market, and raised their prices, leading to fewer domestic sales. This can only work for so long, because, even with long-lived products such as cars, after some time, even the most stupid idiot will notice that you aren't selling a product worth the price you are asking and will stop buying from you. If you sprinkle in some good old fashioned enshittification (which was pioneered by the car industry even before enshittification became a word through the computer/IT industry discovering it and some dude writing a book about the phenomenon), in order to increase profits from repairs and servicing, you will hurt your long term sales even more, because nobody wants to buy a car that spends more time in the shop than on the road and needs expensive servicing at a licensed workshop for even the most trivial maintenance and repairs, such as changing a burnt-out light bulb.

    If you know cars from the early 1990s and their quality and longevity, you cannot help but seeing modern cars as nothing but overpriced piles of garbage (I don't want to say "scrap", because modern cars are more cheap plastic than metal) that can't be kept in service for any prolonged time period without unsustainable costs due to impossible repairs.

  • source
  • parent