Invest in Germany: German Executives Outline New Developments in Cleaner Transportation during the SAE World Conference

DETROIT, April 17, 2007 Germany is leading the effort to make automotive transportation environmentally sustainable. This initiative, supported by both industry and government, was the topic of discussion at Invest in Germany's (IiG) executive breakfast held today in Detroit.

The German automotive industry is following an integrated approach working not only to optimize conventional engines and develop new engine technologies, but also considering lightweight construction technologies and alternative fuel solutions. According to Wolfgang Tiefensee, Germany's Federal Minister for Transport, in an interview earlier this month, the share of biofuels in Germany is now almost four percent. "This figure puts Germany at the top of the European league table," said Tiefensee

Tobias Schenck, Senior Manager of IiG said, "It is our responsibility to share knowledge of technologies for environmental improvement going on in the German auto industry. Climate change is a problem of international dimensions." As Minister Tiefensee commented, "Germany views itself as playing an active part in the European and international decision-making processes. We want to expand our collaborative programs in this field, especially with American partners. Initial talks are already underway."

Gerhard Buschmann, Executive Vice President Diesel Engines, Powertrain Mechatronics of IAV GmbH, one of Germany's leading vehicle engineering companies, presented the current and future trends in powertrain development. "In the short term, the highest potential for traffic CO2 emission reductions will be offered by clean diesel and efficient SI (spark ignition) engine technologies. The future will bring the best of two worlds. We will see more similar diesel and SI engines," said Buschmann.

The German government is actively supporting the automotive industry. The National Programme of Innovation for Hydrogen and Fuel Cell Technology will provide 500 million euros funding. Tiefensee: "We aim to have hydrogen and fuel cell applications ready for commercialization within the next ten years."

"There is not one silver bullet propulsion solution," said Dr. Andreas Truckenbrodt. Executive Director, Hybrid Development Center, DaimlerChrysler. "In the end, the customer decides about the success of new technologies."

David Andrea, Vice President Industry Analysis and Economics, OESA (Original Equipment Suppliers Association) said, "While consumer demands will still drive local powertrain offerings, global concern over greenhouse gas emissions appears to be driving vehicle manufacturers in every region to have a heightened priority on vehicle fuel consumption efficiency. On one hand, this opens a whole new set of market opportunities for suppliers. On the other hand, it expands market and technology risks. This makes the industry that much more dynamic and meetings such as this that much more important."

Invest in Germany (IiG) is the official investment promotion agency of Germany. Our mandate is to assist and consult international companies about investment opportunities in Germany. A new IiG was formed in January 2007, following the merger of the Industrial Investment Council (IIC) and Invest in Germany. For more information visit http://www.invest-in-germany.de/ .