VW boss: China is a fitness center for car companies

China is a “fitness center” for the automotive industry, Volkswagen (VW) CEO Oliver Blume said in an interview with the German weekly Die Zeit, noting that Chinese manufacturers have become competitive in the short term thanks to innovations. “Innovations , for example in batteries, software and autonomous driving, are being developed (in China – op. ed.) pragmatically and economical, very fast and very creative,” Blume told the weekly Die Zeit, according to a previously published transcript of the conversation.

According to him, this attitude and expertise of China can be used to transfer innovations to the entire company, especially in Germany, where sales have noticeably weakened.

The head of VW believes that the protection of the European automobile market from Chinese imports cannot be reduced to the mere introduction of customs duties.

“The main goal should be the intelligent organization of customs,” he said, adding that they could be linked to investment incentives.

VW’s sales fell last year due to poor results in China, where the auto giant sold almost 10 percent fewer vehicles than in 2023. However, they retained the leading position on the market of vehicles with internal combustion engines, with a market share of more than 20 percent, notes the news agency dpa.

On the electric car market, it has long been overtaken by the Chinese BYD.

“A competitive automotive industry has developed in China in a short period of time and it is now a kind of ‘fitness’ center for us,” concluded Blume.