Automobile Industry

When is a motor show not a motor show?

Cars on display

Cars on display

This week marks the beginning of Germany’s biennial Internationale Automobil Austellung – or International Motor Show.

Traditionally, it is a chance for the country to parade the enduring strength of its own car industry, while welcoming the biggest brands from around the world.

But this year’s event, held in the Bavarian city of Munich, promises to be very different.

And that is not just because it is taking place as the pandemic still rages and the car industry appears to be an increasingly-tempting target for politicians keen to show off their environmental credentials.

Changing gears

For a start, this year’s show won’t just be about cars. Organiser, the German Automotive Industry Association, insists the focus is instead being placed on ‘climate neutral mobility’.

The city of Munich itself will open up roads and public spaces to allow visitors to try out new concepts in sustainable transport. And

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Despite the slowdown in the world automotive industry caused by pandemic-induced supply chain disruptions, the luxury car sector was not severely hit. On the contrary, it is projected to grow from USD 410 billion in 2020 to USD 566 billion, at a 5-percent annual rate. A very impressive dynamic for a sector when the pandemic has dramatically affected the spending power of every individual. However, the rich and famous seem to stay immune to the calamity keeping their spending on luxury items at high levels.

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