Car factories in Germany produced 2.1 million passenger vehicles in the first six months of 2026, a fall of 3% compared to the first half of last year. 

Between January and June 2026, Germany exported 1.6 million passenger cars. Again, this represents a fall of 3% year on year. 

Automotive industry body VDA said manufacturers in Germany were facing challenging conditions. It listed high labour costs and taxes, and energy and administration costs that are “high by international standards”. 

It said there was “increasing pressure” on Germany as a business location. 

Image: Audi.

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