AGENCIES, Berlin: Top executives of battered by coronavirus pandemic Germany’s carmakers have been brainstorming on how to get their business back on track with Chancellor Angela Merkel.
Merkel held a video-conference with representatives of the country’s powerful car industry on Tuesday. Several German ministers, representatives of BMW, Volkswagen, and Daimler, which owns the Mercedes-Benz brand took part in the call.
The industry is optimistic that the state will help in boosting sales amid the pandemic. Among ideas discussed, carmakers want the government to offer large financial incentives for car buyers. Carmaker have argued that they need ‘a short-term impulse’ to get business back on track.
However, the government refused to provide a definite answer following the Tuesday summit, saying that deliberations would continue until early June.
Ahead of the Tuesday conference, the heads of German states discussed awarding up to €3,000 to the buyers of diesel and gasoline-powered cars, and up to €4,000 for e-cars, hybrids, and hydrogen-powered vehicles. The idea was spearheaded by the three German states most dependent on the car industry — Lower Saxony (VW), Bavaria (BMW), and Baden-Württemberg (Porsche, Daimler).
Interestingly, Green party politicians slammed the idea and urged the government to pressure the car industry into changing its ways.