In order to cope with the economic weakness, Lower Saxony’s Prime Minister Stephan Weil is calling for a more active role for the state. “We are dealing with a weakening of the competitiveness of our industries as a whole,” said the SPD politician at the “Handelsblatt Auto Summit” in Salzgitter. “We won’t be able to do this without an active state industrial policy.” There is a need for action regarding high energy prices and reducing bureaucracy. In addition, there are possible trade wars after Donald Trump’s election victory in the USA.
Above all, companies now need planning security and political reliability, explained Weil. And this must also apply beyond the current legislative period, he added, with a view to the upcoming federal election in February 2025. “It has to be clear that there is a reliable path for the Federal Republic of Germany for the change process in the next 10, 15 years.”
Sticking to the ban on combustion engines
This also applies to the renewed discussion about an end to the internal combustion engine in 2035. The industry has long since adjusted to this date and made corresponding investments. “If we always go back and forth, two forwards, one back, then we introduce a lot of uncertainty,” says Weil. “And in this situation, uncertainty is actually the last thing the industry needs. Politics is in the mix.”
With a view to the crisis at Volkswagen, Weil was confident that plant closures would still be avoided. Weil says he certainly sees alternatives to closing locations. That is now a matter for the collective bargaining partners. He therefore does not want to give public advice. Weil sits on the supervisory board as a representative of the state.
In the collective bargaining dispute over wage cuts, job cuts and possible plant closures, the union and VW are still far apart. IG Metall is now planning warning strikes from the beginning of December. Both sides want to continue their negotiations on December 9th.
