Automotive Industry in Bavaria
by Invest-in-Bavaria

With sales of approx. Euro 65 billion in 2003— 41.1 billion from exports—the automotive industry is Bavaria’s key industrial sector.

The Bavarian OEMs Audi in Ingolstadt and BMW in Munich take up a frontline position among the most successful and most advanced carmakers in the world. With top quality and sports vehicles they secure record figures on the market (increase in sales 1998–2002: BMW 31%, Audi 68%). This success is based on continuous innovation.

Both companies are pioneers in the application of new materials, in state of-the-art information and driver assistance systems, and in the reduction of fuel consumption and emissions. They set the pace in the world when it comes to design.  In the sector of commercial vehicles the Bavarian manufacturer MAN enjoys an excellent reputation based on advanced technology and highest quality.

Superior supplier expertise
The top performance of Bavarian automobile manufacturers can only be accomplished in a network of outstanding suppliers. All in all there are about 1,000 companies operating in the automotive sector in Bavaria—approximately 180 of these are “Tier 1-4” suppliers.

Core excellence:

  • Electronics and electrical engineering
  • Mechanical engineering and power systems
  • IT and Software
  • Metal processing and lightweight engineering
  • Plastics processing
  • Textiles and chemical fibers
  • Ceramics and glass

Industry structure:
effective, innovative, flexible

  • Five of the world’s “TOP 100“ companies are based in Bavaria (Siemens VDO Automotive, INA, Brose, ZF Sachs, Webasto).
  • Bavaria is home to renowned companies
    with strong traditional roots such as Dräxlmaier (Interiors, Electronics), FTE Automotive brakes and clutch systems), Grammer (Interiors), Leoni (cables), Rehau (plastics) or Scherdel (springs).
  • All major international companies have subsidiaries in Bavaria (e.g. Delphi, Bosch, Denso, Lear, Johnson Controls, Faurecia, Arvin Meritor, Federal Mogul, VALEO, INTIER, TRW Automotive).
  • Many small and medium-size enterprises benefit from the competitive location and are efficient partners for special solutions.

Strong networks
BAIKA, the “Bavarian Innovation and Cooperation Initiative for the Automotive Suppliers Industry“ is an active network promoting cooperation between automobile manufacturers, system suppliers and Tier 1-4 suppliers. 8 automobile manufacturers (Audi, BMW, DaimlerChrysler, Ford, Opel, Peugeot, Renault, VW) and over 1,450 international automotivecomponent suppliers—including the “Top 10” of the world cooperate with BAIKA. The focus is on innovation through cooperation, technology transfer, information validation and qualification. The services offered include work groups, cooperation platforms, qualification measures and support in international cooperation. (www.baika.de)

Science, research and training:
productive partners
In Bavaria we focus on clustering of research activities and making these activities available for industrial application. Bavarian top-level research means market success.

  • The Munich Technical University plays a key role for the automotive industry. Cooperation projects relate to topics such as flow dynamics, materials, thermodynamics, combustion engines, embedded systems, production engineering or telematics. One institute is working on virtual production.
  • A further 8 universities in Augsburg, Bamberg, Bayreuth, Erlangen- Nuremberg, Munich, Regensburg and Passau provide specific know-how relating to the automotive sector and
    experience with industry projects.
  • In Bavaria there are 17 universities of applied science ready to assist the automotive sector in applicationoriented development.
  • Major other R&D partners are the DLR Research Center Oberpfaffenhofen and 4 Fraunhofer Institutes in Munich, Erlangen and Würzburg.

New Materials: Cohesive excellence
High performance materials are frequently a prerequisite for product and process innovation in a world market. The Center of Excellence in New Materials, Northern Bavaria, focuses on this key technology. The Center is situated in the triangle of leading performance materials locations Bayreuth—Fürth/Erlangen— Würzburg. In this location scientific and technical know-how in materials technology are combined and new products and new methods for industry are developed in the fields of metals, polymers, ceramics and composite materials. The services are commissioned by and in cooperation with companies and offered on a fixed schedule basis with a guarantee of confidentiality. State-of-the-art laboratories and test centers are available through all stages of the value added chain: from the initial idea up to the industrial solution and on to small series production.

Key emphasis:

  • Lightweight materials
  • Tribology and corrosion
  • Multi-functional materials
  • Materials in power engineering
    (www.neue-materialien.de)


Incentives for R&D and innovation
Bavaria offers extensive incentives for research and development through the Bavarian research foundation (Bayerische Forschungsstiftung) in addition to general technology programs.
Example: “New Materials” and “Microsystems” programs for the promotion of joint projects in the development of new materials or electronic components. In this way Bavaria supports future oriented technology.

Bavaria is situated right in the center of Europe
A first class transportation infrastructure guarantees that final assembly plants of automobile manufacturers, various supplier locations and major markets throughout the world can be reached quickly and with ease. Because of the proximity to the new member countries of the European Union in Central and Eastern Europe and extensive know-how, Bavaria is an excellent springboard into the new and rapidly expanding markets.

“Just in time”: Logistics excellence
Transportation and logistics are seamless in Bavaria. It is here where innovative solutions for logistics requirements have a longstanding tradition.

  • Highly efficient transportation companies offer the entire logistics service spectrum.
  • A large number of medium-size carriers offer special solutions.
  • Extensive know-how and modern solutions for sophisticated requirements in supply chain management of automobile manufacturers is available.