VDA Managing Director Bräunig: "German suppliers show their drive for innovation at Auto Shanghai" / German Pavilion with 28 automotive supply companies - China continues to display potential

Shanghai/Berlin (ots) - "The German suppliers are making an
impressive show of their drive for innovation at Auto Shanghai. As
many as 28 automotive supply companies are presenting their
innovations at the German Pavilion alone. And a further 12 suppliers
from Germany have their own separate stands at Asia's most important
automotive trade show", stressed Klaus Bräunig, Managing Director of
the German Association of the Automotive Industry (VDA), at a press
conference in Shanghai.

Bräunig pointed out that the German automotive supply companies
had certainly grown just as rapidly as the dynamic Chinese passenger
car market in recent years. "In 2010 this market increased by more
than one third compared with the previous year to 11.3 million units.
In the same period our suppliers too boosted their presence in China
substantially. The number of production plants of German automotive
supply companies - including subsidiaries, joint-ventures and holding
companies - grew by almost a third to currently 180. This has also
had an impact on employment figures. More than 60,000 people in China
are now working for German automotive supply companies and their
subsidiaries - in mid-2009 the number was just under 50,000."

In the coming years too German suppliers plan to expand their
presence further in China, the growth market. "Let me give you two
examples - Schaeffler is already expanding and consolidating its
production capacities in China", emphasized Bräunig. Schaeffler is
creating 1,500 new jobs in China this year alone. Only a few days ago
the Bosch Group announced it would be employing a further 5,900
people in China by the end of 2011. "And the 28 exhibitors at the VDA
German Pavilion see major potential in China", added Bräunig. He also
pointed that the industry and its workforce in Germany too profited
from the German automotive industry's international commitment on the
world markets. "As a rule of thumb, three new jobs in other countries
create or secure one job back in Germany."

Bräunig went on to say that the Chinese market, that is expected
to grow by 11 percent to 12.5 million passenger cars in 2011, was not
only concerned with growth in figures. "China is increasingly
developing to a market with high technological demands. In view of
rising emission levels and legislation too, optimising the powertrain
of automobiles with classic internal combustion engines enjoys high
priority." Furthermore, China was playing a key role in developing
electromobility. "Our suppliers possess great expertise in both areas
- conventional engines and alternative drive systems - expertise that
is in great demand in this dynamically growing market", emphasized
the VDA Managing Director.

Bräunig also said that VDA had been attending Auto Shanghai - and
Auto China in Peking that alternates with this show - for many years
now. "Both trade fairs have become steadily more important. They
reflect the dynamic growth in this great country", said Bräunig.
"Alongside our vehicle manufacturers who have production plants in
China, many of our supply companies have also been operating here for
years."

The following companies are represented at the German Pavilion for
automotive supply companies supported by VDA: AMK Automotive GmbH &
CO. KG, Berger Holding GmbH & Co. KG, Brose Fahrzeugteile GmbH & Co.
KG, Bühler Motor GmbH, C. Rob. Hammerstein GmbH & Co. KG, ebm-papst
St. Georgen GmbH & Co. KG, Emitec Gesellschaft für
Emissionstechnologie GmbH, Evonik Industries AG, FEBI Ferdinand
Bilstein GmbH & Co. KG, Formel D GmbH, GPM - Geräte- und Pumpenbau
GmbH, Heyner GmbH; Hirschvogel Umformtechnik GmbH, hofer powertrain
GmbH, J. Eberspächer GmbH & Co. KG, Jaeger Poway Automotive Systems
(Shenzhen) Ltd., Joker Logistics Exhibitions & Events GmbH; Kiekert
AG, MS Motor Service Asia Pacific Co Ltd., Muhr und Bender KG, Oris
Fahrzeugteile, Scherdel GmbH, Seeger-Orbis GmbH, Sonderhoff Chemicals
GmbH, W.E.T. Automotive Systems (China) Ltd., Webasto AG, Witzenmann
GmbH, Woco Industrietechnik GmbH.

Bräunig explained that China as a growth market required greater
presence of German vehicle manufacturers and automotive supply
companies on the ground. For this, German companies received support
from VDA's Quality Management Center (VDA-QMC), which helps train
auditors as well as to train and certify suppliers. The VDA-QMC
office in Peking was opened in 2005, and the branch in Shanghai one
year later.

At the close of his speech Bräunig stressed: "Auto Shanghai has
become one of the most exciting automotive trade shows in Asia. The
world's most important International Motor Show is the IAA Cars,
which is organized by the VDA and will open its doors in Frankfurt in
Germany in September. We expect over 900 exhibitors from all over the
world and thus a far greater number than at the last IAA Cars. Of
course we are especially delighted that an increasing number of
Chinese exhibitors will once again be present at this year's IAA."

Contact:
Eckehart Rotter
VDA - Press Department
Tel.: +49 30 897842-120
Email: rotter@vda.de