New bankruptcy in the Austrian automotive supply industry

Transformation to electromobility as a burden

The total liabilities amount to around 576,000 euros. According to the company’s own application, almost all of the company’s clients are confronted with an extremely difficult international market environment. The industry is particularly affected by the transformation towards electromobility, according to the statement.

“The crisis in the automotive industry that has been going on for several years has recently been significantly exacerbated by the customs situation,” explains Venka Stojnic from the Austrian association Creditreform. In addition, development services are increasingly being outsourced to other Asian countries – a trend that is putting additional pressure on domestic suppliers.

Other companies in trouble

The bankruptcy could trigger a domino effect: Bitter Engineering holds stakes in EDER TC Technical Concepts GmbH (50 percent) and Bitter Mobility GmbH (63.75 percent). The continued existence of these companies is also uncertain due to the economic situation, according to the company’s own application.

Orderly processing planned

Lawyer Heinz Kassmannhuber was appointed as insolvency administrator. There are currently 40 projects still open that are to be completed in coordination with the insolvency administrator. The company will then be closed and liquidated.