Mahle CEO Warns of Damage as Volkswagen Halts Polo at Kariega Plant Amid German Automakers Consolidation Forecast

The European automotive industry is facing multiple challenges, including dependency on combustion engines, political pressure, and poor financial results, according to Mahle's CEO, who warns of potentially irreparable damage to the sector. The German auto industry is described as weakened and self-inflicted in its current crisis. Volkswagen is reportedly considering changing its business model in some factories, signaling a shift away from traditional car manufacturing. Economist Moritz Schularick projected on the ZDF program Markus Lanz that by the end of the decade, only two major German automakers—Mercedes, BMW, or Volkswagen—will remain. Questions have also been raised about the future viability of auto suppliers in Germany. Additionally, Volkswagen has ceased production of the Polo and Polo Vivo models at its Kariega Plant in South Africa to prepare for the assembly of a new A0 SUV scheduled for 2027.