2024-03-02 00:59:57
German automotive suppliers are under increasing pressure. Now a heavyweight from Baden-Württemberg has declared his insolvency.
The automotive supplier Eissmann Automotive, based in Bad Urach, Baden-Württemberg, has filed for bankruptcy. This is reported by “Wirtschaftswoche”. Accordingly, the company and its most important German subsidiaries submitted a corresponding application to the Tübingen district court on Wednesday.
Eissmann produces, among other things, center consoles, instrument panels, armrests and airbags. According to its own information, the company “works with almost all well-known automobile manufacturers and suppliers.” The group’s customers include BMW and the VW Group. Eissmann is considered a heavyweight in the interior segment, writes “Wirtschaftswoche”.
17 locations worldwide
According to Eissmann, it employs around 5,000 people at 17 locations worldwide, around 1,000 of them in Germany. According to “Wirtschaftswoche”, the company achieved sales of around 367 million euros in 2021. “The restructuring measures of the past few months were unable to compensate for the effects of the recession, various inflation drivers such as energy costs, material costs or interest rate developments,” the company said, according to the report. In the next three months, the employees will probably receive insolvency money, it is said. What happens after that , be open.
Other German auto suppliers have also recently come under increasing pressure. For example, the ZF group has billions in debt. Continental currently wants to cut more than 7,000 jobs worldwide, 630 of them in Frankfurt alone. Read more here. The reasons given for the difficulties include costs caused by the switch to e-mobility and a decline in global demand for cars.