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You are at:Home»Business»German car manufacturers have to accept mobility on the IAA show
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German car manufacturers have to accept mobility on the IAA show

Nana MediaBy Nana MediaSeptember 5, 20254 Mins Read
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German car manufacturers have to accept mobility on the IAA show
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Introduction to Auto Shows in Germany

Auto shows have long been magnets for manufacturers and the general public in Germany. The first showed eight motor vehicles in Berlin in 1897. The shows grew when the industry grew and bought cars. In the early 2000s, the Frankfurt International Motor Show had grown to around 2,000 exhibitors and brought in with one million visitors.

The Evolution of Auto Shows

But slowly some manufacturers decided to stay away, and those who remained reduced their presence. The number of visitors sank and the companies questioned the relevance – and the costs – of such trading shows. Now, after renaming and moving to Munich in 2021, the International mobility exhibition Germany (IAA mobility) will be reopened on September 9, 2025. The event organized by the German Association of the Automotive Industry (VDA) is divided into two parts. One for industry specialists and one with public outdoor events in the whole city, including test drives and new vehicle presentations.

Leave the Traditional Car Show Behind

The times when consumers went to Auto shows, looked at the tires of different brands, and were happily taken home with brochures are gone. Transport is more than a car in the entrance today. In order to remain relevant, these shows still have to show shiny concept cars, while they address self-driving vehicles, artificial intelligence, and emigration from combustion engines. Instead of concentrating on luxury and horsepower, the IAA has opted for this broader perspective and brings together car manufacturers, software developers, suppliers, and manufacturers of bicycles, scooters, or other micromobility vehicles.

Can Germany Keep Pace with Mobility Trends?

German manufacturers are in a particularly endangered position. Last year, the country shed around 51,500 jobs in the automotive industry, which corresponds to 6.7% of the total workforce of the sector in Germany. Production overcapacity, rising labor costs, and falling profits are behind part of these employment losses. At the same time, the German auto industry has to deal with 15% US tariffs and sees its lucrative exports to China slide, with its market share shrinking there. The exhibitors of this year’s IAA include German manufacturers such as Audi, BMW, Mercedes, Porsche, and VW, as well as suppliers such as Continental and Schaeffler.

The Competition Comes Together

In Munich, in a large German comeback, in which many in the industry hope, BMW, Mercedes, and VW are expected to highlight new vehicles that highlight technology and electromobility. Since the show is on their home grass, it is obvious that "the German brands must be present at the German car event," said an industry expert. Almost 280 German exhibitors plan to take part. However, it is expected that the presentations of the large brands will be "quite modest compared to what happened in Frankfurt before 2020." Other exhibitors come from all over Europe, Canada, the USA, South Korea, Taiwan, and Turkey.

The Hard Way to a Real Transformation

Regardless of whether you take part in the exhibition or not, all manufacturers and suppliers have a bumpy road in front of them. So far, the German brands have repeatedly produced internal fuel motor vehicles and at the same time expanded EV production. However, this dual production system is not worthwhile in the long term because scale effects cannot be achieved. Maintaining the focus on already announced goals is essential. The greatest risk in the transition to electromobility is "the softening of CO2 borders and repeated discussions about a possible reversal of the decision to get out of combustion engines." For legacy brands, the risk is simply not managing the transformation, "in order to become smaller, slimmer, agile, and digital and software-based." Such a disturbing transition will have consequences for established manufacturers and their finances, which could be bad news for Germany.

Artificial intelligence Audi Automotive industry Berlin Bicycle Canada China Economies of scale Electric vehicle Employment Frankfurt German Empire Germany International Motor Show Germany Kick scooter Market share Mercedes-Benz Micromobility Munich Porsche Production (economics) Profit (economics) Schaeffler Group South Korea Taiwan Tariff Transport Turkey Vehicular automation Verband der Automobilindustrie Wage Workforce
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