In 2026, the German automotive industry is facing one of the most fundamental disruptions in its history. Declining demand, intensifying global competition – particularly from Chinese players – and rising energy, labor, and raw material costs are significantly increasing economic pressure. At the same time, electrification, digitalization, and new market structures require massive investment, while profitability is already eroding at many companies.
As a joint project of Porsche Consulting, the IfUS Institute, and Executive Interim Partners (EIP), this study shows how companies can improve their resilience through clear restructuring measures, the strengthening of management capabilities, and targeted internationalization. It also argues that without deep transformation, neither competitiveness nor value creation in Germany can be secured in the long term. The analysis examines the root causes of the current crisis, documents the urgency for action, identifies key success factors, and highlights the strategic decisions that will determine the future path of the industry.
Read the whole study: Automotive Industry 2026.