Huber: Car Manufacturers Blackmail Suppliers

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Huber: Car Manufacturers Blackmail Suppliers
Huber: Car Manufacturers Blackmail Suppliers

Video: Huber: Car Manufacturers Blackmail Suppliers

Video: Huber: Car Manufacturers Blackmail Suppliers
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The unions worry about the existence of the supplier companies of the German car manufacturers. These would shift their costs massively on to their business partners, said IG Metall Vice Berthold Huber.

The unions in the German automotive industry have denounced excessive price pressure from major manufacturers on suppliers. "Here market power is used for blackmail," said the second chairman of IG Metall, Berthold Huber, on Thursday at a joint conference with IG Bergbau, Chemie, Energie in Berlin. A massive passing on of costs to suppliers endangers quality in the long term, which is also shown by product recalls. In order for suppliers to be able to take advantage of growth opportunities, “plundering” by financial investors must be stopped. Upper limits for CO2 emissions in the EU would have to apply depending on the vehicle class and not uniformly. The Association of the Automotive Industry (VDA) announced that it would focus more on environmental technology.

Alarm signals are increasing

Huber called it an alarm signal that in 2006, for the first time in a long time, the number of employees at auto suppliers fell slightly, which according to statistics is around 321,000. To strengthen the often small and medium-sized companies, it is also necessary to improve their financial bases. The formation of equity must be subsidized by tax. Manufacturers and suppliers alike have not yet exhausted opportunities to improve the energy efficiency of vehicles. (dpa)

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