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The German automotive industry expects an increase of 21 per cent of exports in 2010 thanks to strong demand in Asia and the US Analysts say manufacturers focus on research and development is paying.
The automotive industry is one of the largest exporters of Germany.
There is no doubt that this has been a good year for the German car manufacturers, and also little doubt that this has much to do with the Volkswagen China, Porsche, BMW and Mercedes have all made their mark on the sprawling Asian landmass and notched sales figures far exceeded their expectations.
In the first eight months of 2010, China's auto market has almost doubled in size with the German manufacturers get an increase of 53 percent on sales of its cars.
In an interview in the daily Die Welt on Monday, the president of the German Association of the Automotive Industry VDA, Matthias Wissmann said that German manufacturers have produced a total of 5 to 45 million passenger cars by the end of the year of the lion's share will be passed to international markets.
For foreign routes to the German cars have a good reputation abroad.
During the year, we expect exports to increase by 21 percent, equivalent to 4 15 million passenger cars, Wissmann said, The strength of the Asian market, especially China, as well as the recovery of the US market, have fueled exports.
So far this year, Chinese consumers bought March 1 million German vehicles.
Wissmann cited the decision not cap but increase development budgets during the crisis as one of the main reasons for the growing popularity of German cars in the Asian country.
He said he had given the German manufacturer a competitive technological advantage and enabled them to find the right range of cars.
President VDA added that the German domestic market also did better than expected in 2010, concern had been that the demand stagnate following the government's decision not to extend its grant program to breakage, whereby owners German cars were paid 2500 euros 3470 if they traded in a vehicle that was at least nine years and bought a new brand.
As corporate profits rise, auto workers want higher wages.
Workers have responded to growing market with calls for wage increases planned for 2011 to be introduced early.
Audi and other parts of the Volkswagen Group, whose operating profit tripled in the third quarter to 4 8 billion euros, have already agreed an increase.
BMW, Porsche and Daimler have yet to make a decision.
Author Tamsin Walker dpa, AP Editor Sam Edmonds.
Asian demand stimulates the growth of the German automotive industry business, Asian demand, German.