Decline in German car sales, which is enhanced by coronakrisen, can cost hundreds of thousands of jobs, believes the researcher.
Over 100,000 employees in Germany’s automotive industry may lose their jobs because of coronakrisen. The warning comes from a leading German expert.
the Demand for new cars is expected to fall by around 15 percent this year, estimates researcher Ferdinand Dudenhöffer from Duisburg-Essen university.
If you look at the experience from the financial crisis of 2008-09, it may take over a decade to catch up with the lost again, he writes in an analysis according to the German news agency dpa on Sunday.
the Researcher estimates that there will be an overcapacity in the German factories of between 1.3 and 1.7 million cars, of which there is demand. It will contribute to the loss of jobs, think Dudenhöffer.
– the Reason is not problems in the supply chain, but quite clearly the lack of demand, he writes.
According to the researcher led the automotive industry in advance during the falling demand, which has now been reinforced by the coronakrisen.
According to the Dudenhöffers calculations can be somewhere between 100,000 and up to 830.000 jobs will be in the danger zone. It is both at the car manufacturers, dealers, and in other parts of the German automotive industry.
Alone, the Volkswagen group lose each week around two billion euro, equivalent to 15 billion dollars, because the production in Europe and the UNITED states are at a standstill. It has the group’s management stated in a letter to employees, wrote finance.uk on Saturday.
Kreditvurderingskoncernen moody’s Investors Service predicted in a forecast that car sales in Europe this year will fall by 20 percent. In the UNITED states is expected a decline of 15 percent, while sales in China are expected to go 10 percent back, writes the financial.dk.
Ferdinand Dudenhöffers forecasts are a little more bleak. He expects a decline in sales in Germany of 15 percent, while in China is expected to be 20 percent, France and the UNITED states 25 per cent and Italy 30 percent.
/ritzau/
