1st Quarter 2015 QUARTERLY Vol. 26 $7.50

Festo Didactic CEO Nader Imani – Tackling Skill Shortages in Advanced Manufacturing

GACC Award “Trainee of the Year”

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GACC_Anzeige_178x256_02.indd 1 11.02.14 15:59 EDITORIAL CONTENTS

ear Members and Friends of n TRANSATLANTIC TICKER Dthe German American Chambers German American Company News 4 of Commerce, n ECONOMIST’S CORNER In the year 2014 we have witnessed Sandra Navidi, Beyond Global, LLC a whole series of acquisitions and There is Life in the Old Dollar Yet 7 mergers between German and American companies. As a matter of n COVER STORY fact, with a total transaction volume Festo Didactic - Tackling Skill of USD 67 billion the year will rank Shortages in Advanced Manufacturing 8 on top, far exceeding the respective n SPOTLIGHTS activity of the previous 5 years combined. Each transaction stands German American Business Outlook 2015 14 on its own and individual merits, GACC Award: Trainee of the Year 18 ranging from re-alignments of a GACC Highlights 2014 20 company’s business mix, expansion GACC Philadelphia into innovative and novel technol- Dietmar Rieg, Celebrates 25 Years 30 ogy areas to industry specific President & CEO, GACC New York GACC Philadelphia consolidation considerations. The Welcomes Lydia Sarson 32 high number of transactions and its in the U.S. are comparatively good, How Industry 4.0 Changes high monetary volumes are particu- adding value. the Manufacturing Industry 34 larly noteworthy, taking into consideration that traditionally Given Germany’s current account n SKILLS AT WORK acquisitions and mergers are a very surplus, these industry investments Training Tomorrow’s Skilled Workforce 36 difficult undertaking. According to seem to be more preferable over numerous studies they often do not recycling and dis-intermediating n GTAI INDUSTRY TALK create the expected stakeholder and such surpluses through financial 3D Printing Market with Great Growth shareholder value. The respective instruments which have been opaque Potential in the U.S. 38 merger and integration process is at times in the past. On this back- laborious and lengthy. In addition, drop, we approach the year 2015 n WASHINGTON UPDATE large acquisitions bear significant with confidence into growing New Year, New Trade Agenda reputational risks. U.S.-German business and commerce. A Look at the U.S. Trade Agenda for 2015 40 And we hope that fruitful discussions n Consequently we are sure that each surrounding the negotiations of the MEMBER PROFILES of these transactions has been vetted Transatlantic Trade and Investment A.T. Kearney: U.S. and EU are Still on Top 42 extremely thoroughly. And they have Partnership (TTIP) will foster the n WHAT'S ON YOUR DESK? a few themes in common. Primarily, creation of an even stronger, they speak for a robust German mutually beneficial and long-lasting Kevin Heidenreich, Deputy Representative of German Industry and Trade 44 economy and companies with strong economic relationship platform. balance sheets. These investments are n EVENT CALENDAR made with high confidence into Sincerely yours, Events & Delegations: Jan/Feb/Mar 2015 45 known and familiar markets. The valuations are transparent, financing conditions are beneficial, and transaction execution tends to be swift and efficient. Most importantly those investments try to enhance and Dietmar Rieg enlarge respective footprints to the President & CEO huge customer base in the U.S. German American Chamber of Finally, economic growth prospects Commerce, Inc. New York TRANSATLANTIC TICKER

MERGERS Officer of ATLAS North America LLC. according to media reports. Front _ & _ >> www.defense-update.com runners to buy the business, which ACQUISITIONS has about $750 million in premiums, ATLAS North America Enbridge Buys 80% Stake in include Ace (ACE.N), AIG (AIG.N) and Acquires U.S.-Based Sonar U.S. Wind Farms from E.ON AmTrust (AFSI.O), Germany's Company MSTL Enbridge Inc. says it’s acquiring an 80 Sueddeutsche Zeitung newspaper and ATLAS North America LLC. (ANA) percent interest in two wind farms in The Insurance Insider reported, citing has acquired the business of Marine Texas and Indiana. The Calgary-based investment banking and industry Sonic Technology (MSTL), Ltd., based energy company is buying the stake sources. in Yorktown, Virginia, USA, via an from E.ON, a German power and gas >> www.reuters.com asset deal. Terms of the transaction company. The companies valued the were not disclosed. ANA is a wholly wind farms near Harligen, Texas and SAP Completes owned subsidiary of ATLAS ELEK- Elwood, Ind., at a total of US$650- Acquisition of Concur TRONIK GmbH, Germany. “MSTL’s million. SAP SE (NYSE: SAP) announced that it core competencies with high resolu- >> www.theglobeandmail.com has completed its acquisition of tion sonar technology are highly Concur Technologies, Inc. (NASDAQ: synergistic to the ATLAS Group’s Allianz Near Sale of Fire- CNQR), the leader in the multi-billion existing capabilities and with the man's Fund Personal Business dollar market for travel and expense addition of these new side scan Allianz (ALVG.DE) is close to selling (T&E) management solutions. With the products, expand ATLAS’ total sonar the personal insurance business of acquisition of Concur, SAP advances product offerings.” explained Sergio Fireman's Fund, a U.S. insurer the its business network strategy by Diehl, President and Chief Executive German company bought in 1991, delivering a new model for managing

Exclusive cartoon for German American Trade by Heiko Sakurai www.sakurai-cartoons.de

4 German American Trade Jan/Feb/Mar 2015

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business resources, processes and Iowa Biofuels Firm to Buy Alcoa to Buy German Tita- spend in the simplest possible way — German Company Petrotec nium through the world's largest business Renewable Energy Group Inc. has a Manufacturer Tital network. All outstanding shares of deal to buy a majority interest in Alcoa Inc. will acquire a privately Concur have been converted into the Petrotec AG from IC Green Energy held German titanium maker to boost right to receive US$129 per share in Ltd. and will make an offer for the its aerospace business. Financial terms cash. Concur has notified The Nasdaq remaining shares. IC Green agreed to of the deal for Tital, a privately held Stock Market of the completion of the accept an offer from REG European company, weren't announced. Tital acquisition and expects trading of its Holdings BV to purchase IC Green's makes titanium and aluminum common stock to be suspended 69 percent equity ownership in castings for aircraft engines and pending delisting of such shares. Petrotec AG for $20.9 million to be airframes. The bulk of Tital's 650 >> www.prnewswire.com paid in newly issued REG stock. The employees are based in Bestwig, transaction is expected to be com- Germany. VW Said to Buy pleted by the end of the year. >> www.bizjournals.com Battery Startup Stake >> www.businessrecord.com for Tesla Challenge MARKET ENTRIES Volkswagen AG (VOW) bought a stake Microsoft Acquires German _ & _ in battery startup QuantumScape Mobile App Analytics Firm RELOCATIONS Corp. with the aim of developing Microsoft on Thursday announced it Concept Laser Opens U.S. technology that can more than triple has acquired Stuttgart, Germany- Subsidiary in Dallas the range of its electric cars, accord- based HockeyApp, a provider of Concept Laser, a pioneer of techniques ing to people familiar with the matter. mobile app crash analytics services for laser melting with metals, has VW is considering using the energy- for software developers. While opened a US subsidiary in Dallas, storage technology, which is fireproof, HockeyApp will continue to offer its Texas - building on its existing for vehicles from the namesake brand analytic services, Microsoft said it operations in Germany and China. as well as Porsche and Audi, said the also plans to integrate the capabilities Growth in demand for its LaserCUS- people, who asked not to be identified of the HockeyApp solution into its ING systems over the past few years because the plans are private. Tests to products in the near future. Specifi- has led to this strategic addition, the show the system is viable for cars are cally, HockeyApp will be integrated company said. John Murray has been due to be completed in mid-2015, into Microsoft's Applications Insights named CEO of the newly-formed Con- they said. The VW of America unit service in Visual Studio Online. cept Laser Inc. bought a 5 percent holding and has >> www.rcpmag.com >> www.optics.org options to raise the stake, one of the people said. ADVERTISEMENT >> www.bloomberg.com

Merck in Talks to Buy Antibiotic Maker Cubist for $7 Billion of Fine European Wares! Merck & Co. (MRK) is in talks to Come Experience the Magic acquire Cubist Pharmaceuticals Inc. (CBST), a maker of antibiotics, in a deal valued at more than $7 billion, a person familiar with the matter said. Merck would pay about $100 a share, and an agreement could be an- The CHRISTMAS SLEIGH nounced as early as this week, the 5A East Washington Street • Middleburg, VA 20117 • Telephone: (540) 687-3665 • Fax: (540) 687-3435 person said yesterday. An offer in that We ship worldwide. range would represent a 34 percent premium over Cubist’s closing share Order online at www.thechristmassleigh.com price on Dec. 5. >> www.bloomberg.com TRANSATLANTIC TICKER

Wired and BuzzFeed German Glass Tech Firm BBG alliance says Becker Hydraulics of Give Germany a Try GmbH & Co Sets North Ameri- Herdorf, Germany will invest over Two U.S. media outlets, tech maga- can Operation in Oxford, MI $500,000 in Cavalier Industrial Park. zine Wired and website BuzzFeed, BBG GmbH & Co. KG's new subsid- >> www.nbc12.com have launched German editions iary will handle mold modification recently in an attempt to shake up a for North American customers, the INVESTMENTS market that is dominated by tradi- Mindelheim, Germany, company _ & _ tional publishers. Wired started selling recently announced. BBG specializes EXPANSIONS a German edition at kiosks last month in systems that bond glass to Audi to Invest and has also a German website with plastic, as in vehicle windows, $29 Billion Through 2019 articles about technology, science and photovoltaic cells, aerospace to Surpass BMW innovation. Most stories are written windows and bathroom shower Audi will spend 24 billion euros by its 19 journalists in Germany, with cubicles. It produces encapsulation ($29 billion) to develop technology only a few translated from the U.S. molds and turnkey systems for such and expand production, boosting edition. markets. It also builds other types of its five-year investment plan by 2 >> www.blogs.wsj.com injection molds, draw dies for billion euros as it chases BMW for vacuum forming, and tools and the top spot in luxury-car sales. Twilio Launches molds for a range of composites About 16.8 billion euros, or 70 German Services processing. percent of the total, is earmarked Twilio, which provides cloud-based >> www.crainsdetroit.com for new models like the Q1 sub- communications services, outlined compact sport-utility vehicle, the plans to expand in Germany as well Mercedes-Benz Reportedly Ingolstadt, Germany-based unit of as create a new application program- Weighing Leaving Bergen Volkswagen AG (VOW) said today ming interface that makes it easier to County for Atlanta in a statement. Audi expects to sell acquire phone numbers in all The German luxury automaker a record of more than 1.7 million countries. The company said that it Mercedes-Benz is looking to move autos this year. will add German phone numbers, its 1,000-employee North American >> www.bloomberg.com local language support for messaging headquarters from Montvale to and text to speech to customers in the Atlanta. The Atlanta Business U.S. Auto Sector Tries to country. Twilio provides SMS and Chronicle first reported that Mer- ‘Out-German the Germans,’ messaging technology and APIs for cedes-Benz USA is considering the Says Cadillac CMO companies like Uber and Airbnb and move. A company spokesman Uwe Ellinghaus has expanded into more enterprise declined to comment on the report, Uwe Ellinghaus keeps finding accounts. but several sources told The Record himself in hot water for the things >> www.zdnet.com that Mercedes-Benz was indeed he says. Most recently, he took considering leaving Bergen County. flack from the auto industry for German Automotive One source within the company told declaring, "When I recruit people, I Parts Company Häring The Record that an announcement do not need 'petrolheads.'" He Opening GA Plant on a move may come in January, at defends his statement, saying Georgia Gov. Nathan Deal says a a company reception. Cadillac's issue isn't the product, German manufacturer of auto >> www.northjersey.com it's the brand. "While there are no components is building its first U.S. great brands without great prod- facility in northeast Georgia. Deal said German Company ucts, having a great product isn't in a statement Wednesday that Häring Becker Hydraulics to Open always sufficient for winning is planning to create 800 new jobs by Facility in Chesapeake customers over, and this is what we 2025 and will invest $54 million over The Hampton Roads Economic currently experience," Mr. Elling- five years to develop the facility in Development Alliance says a haus said. Hartwell — near the South Carolina German company will invest in a >> www.adage.com border. manufacturing facility in Chesa- >> www.thestate.com peake, creating ten jobs. The

6 German American Trade Jan/Feb/Mar 2015 ECONOMIST’S CORNER

There is Life in the Old Dollar Yet or the longest time, many pundits tion, a culture of innovation and Fhave predicted that the Fed's entrepreneurialism and highly liquid accomodative monetary policies capital markets. Inflation will likely would obviously and inevitably stay below target for the next couple result in a massive dollar deprecia- of years, primarily due to declining tion and high inflation. And what energy prices and lower costs of has happened? The exact opposite. imported goods. The strong Dollar is The Dollar has significantly appreci- unlikely to undermine the U.S. ated versus other G-10 currencies at economic recovery. Rather, coupled low inflation, because of solid U.S. with correlated economic strength it economic fundamentals, the impend- will attract global capital flows. U.S. ing Fed interest rate hike, the Fed’s exports will suffer, but they only potential QE safety net, the U.S. make up 13% of U.S. GDP and energy revolution and the weakness greater disposable income will result of other currencies. Due to global in increased consumption. Any Sandra Navidi capital markets’ confidence in the disadvantages for the U.S. are Chief Excutive Officer BeyondGlobal, LLC Dollar, its strength is likely to persist. outweighed by the risk of it being [email protected] It is considered a safe haven, because dragged down by a Eurozone >> >> www.beyond-global.com of its high liquidity and the U.S.’ slipping into a recession. The >> Twitter: @SandraNavidi reliable institutions, sound legal corresponding weak Euro is favor- system, and relatively functional able for Eurozone exports. However, political system. In addition, the increased exports based on Euro Dollar will remain the world’s reserve depreciation will not fully make up currency for years to come and the for sluggish global demand. While a sufficient sustainable growth outlook for the U.S. is favorable in weaker Euro may help jumpstart momentum without the requisite view of demographics and immigra- growth, it will not be able to provide fundamental structural reforms.

HP Invests in Security HP Enterprise Security. The last E.ON Says Has Operations Centre statistic comes from HP security Commissioned New U.S. in Germany research and the claim "more than all Wind, Solar Installations Like other countries, Germany is other security service providers" is German utility E.ON said it has experiencing an increase in cyber disputed by several of its competitors. commissioned two large-scale crime. According to Arthur Wong, >> www.business-cloud.com renewable energy projects in the U.S., SVP and general manager, Enterprise strengthening its position in a growth Security Services, HP: “Over the Hubner Manufacturing market. It said it has started commer- course of this year the average cost of Corporation Expanding cial production at the 211 megawatt cyber crime in Germany climbed to Charleston County Facility (MW) Grandview I wind farm 26 €6.1M per enterprise, and each attack Hubner Manufacturing supplies miles east of Amarillo, Texas, in a took an average of 21 days to resolve. products to the bus, rail and air joint venture with GE Energy HP detects more than 23 billion transportation industries is is expand- Financial Services. security events monthly - more than ing its operations in Charleston >> www.reuters.com all other security service providers County. Hubner Manufacturing combined.” The first statistic is Corporation is investing $8.6 million Visit us on the web at sourced from “Cost of Cyber crime to expand its manufacturing facility in >> www.transatlantic-news.com study, 2014”, a global study of Mount Pleasant, S.C. The investment is Follow the Ticker on Twitter U.S.-based companies conducted by expected to create 50 new jobs. >> www.twitter.com/ta_news the Ponemon Institute on behalf of >> www.counton2.com

German American Trade Jan/Feb/Mar 2015 7 COVER STORY

Festo Didactic Tackling Skill Shortages in Advanced Manufacturing

“Manufacturing is s manufacturers are trying to Training and Education Aregain momentum in the U.S., for Employability becoming increasingly many are facing a well-documented In today’s high-tech world, skilled high-tech as challenge: A significant gap between workers require both, practical the talent they need to keep growing experience in the industrial environ- it is changing rapidly their businesses, and what they can ment, and fundamental knowledge of actually find. As manufacturing is advanced technologies. These two from mass production to becoming increasingly high-tech on pillars provide the foundation of the mass customization. the factory floor and also in back German dual education system which offices where data from machinery is enables students to connect their A well educated analyzed, these skill deficiencies theoretical knowledge with the real workforce is essential have a significant impact on the demands of production. This training companies’ ability to expand prepares students to solve problems for the growth of a operations and improve productivity. and to effectively contribute to the A McKinsey Global report from 2012 productivity of the company they company and critical for projects a shortage of more than 40 work for. driving the economy.” million high-skill workers in the U.S. by 2020. In order to address the Festo Expands its Vocational skills gap in U.S. manufacturing, Education Division in the Dr. Nader Imani, Festo is expanding its vocational U.S. and Canada education division, Festo Didactic, in Addressing the fact that 2 million CEO, Festo Didactic, Inc. the US and Canada. manufacturing jobs in the U.S. go unfilled because there are not enough trained individuals, Festo Didactic established a high-tech learning laboratory in central New Jersey that will provide the training and educa- tion modern-day manufacturers need to compete and succeed. The “Center for Workforce Technology Education” which is located in Eatontown, NJ, will provide 21st century training to the latest generation of manufactur- ing employees.

“Most American production processes have adopted advanced manufactur- ing techniques that require fewer workers on the shop floor,” said Nader Imani, CEO, Festo Didactic, Inc. “But there is a tremendous and Festo Didactic offers a holistic approach to qualifying employees and students growing demand for more workers for advanced manufacturing. Teachers and students are positioned to work in the “real with technical training that can world”. 8 German American Trade Jan/Feb/Mar 2015 COVER STORY

operate and repair sophisticated Dr. Boese explained. “We know the This joint venture, the “Festo – CPCC equipment and plan production. This key to innovation is through indus- Learning Center of Excellence”, will new era of manufacturing focuses on trial training,” he added. develop in stages with the first stage a high-speed, high-tech world, fueled expected to be operational by early by technology, for which highly- Festo – CPCC National 2015. The center will advocate the skilled workers are essential to Learning Center of Excellence growth and development of ad- operate automated manufacturing Festo Didactic SE and Central vanced manufacturing in the United and processing equipment.” he added. Piedmont Community College (CPCC), States, while giving CPCC students located in Charlotte, North Carolina and incumbent workers the opportu- In June, 2014, Festo Didactic acquired will create a one-of-a kind training nity to become highly skilled the Lab-Volt Group of Companies, facility to be located on CPCC’s operators of the latest, high-tech headquartered in NJ with an affiliate Central Campus. manufacturing equipment. in Quebec, Canada. This merger enables Festo Didactic to offer an even broader range of products and services in addition to the 3,500 courses it offers annually in more than 26 languages across the globe, and makes Festo Didactic the most comprehen- sive portfolio available in the interna- tional training and development market for technical education.

Dr. Daniel Boese, General Manager of Festo Didactic SE, explained that the German dual education system is largely recognized as a driving factor of Germany’s economic success. High schools in Germany provide students with technical training based on the needs of local manufacturers. These companies, in turn, provide three- year apprenticeships to train the students, a practice that has disap- peared in the American industry over the years. “Often, those who become chief executive officers in German manufacturing companies have gone through the apprenticeship program themselves, where they gained a full understanding of all aspects of production technologies and chal- lenges on the production floor,” Transfer Factory: A platform to demonstrate the impact of market turbulences on production planning.

German American Trade Jan/Feb/Mar 2015 9 COVER STORY

About Festo Festo is a leading world-wide employees worldwide, 820 supplier of automation technol- are in the education division ogy and world market leader in and provide more than industrial training and develop- 3,500 seminars in 26 languages ment. Headquartered in Esslin- per year. gen, Germany, the independent family company has become the In the US, Festo Corp. is performance leader in its headquartered in Hauppauge, industry with a global presence NY with offices in Silicon in 176 countries. 300,000 Valley, Chicago, Detroit, customers worldwide rely on Appleton, Charlotte, Dallas and IHK Certification Festo’s innovations and prob- Los Angeles. The company is The Festo-CPCC partnership offers another lem-solving competence in all currently building a 170,000 sq. important benefit for potential students: aspects of automation, as well ft. state-of-the-art product Certification. as its unique range of industrial assembly and distribution center training solutions and education in Mason, OH, which will serve The Festo-CPCC Learning Center of Excel- programs. Of Festo’s 17,600 U.S. and Canadian customers. lence will be the only training facility in the U.S. to offer certification endorsed by the IHK Karlsruhe, a German regional chamber of About Festo Didactic industry and commerce. Students will be able As part of a world leading provides solutions that foster to become IHK certified in Programmable producer of automation solu- the development of sustainable Logic Controller Technology and Computer tions, Festo’s education division, industrial skills and contributes Numerical Control Machining Technology. Festo Didactic, offers training to the competitiveness of programs and consultancy for companies in the global “We believe that our joint venture will manufacturing companies and markets. become the “gold standard” for technical equips educational institutions education and training in the U.S. and North for technical training via open Festo Didactic’s sophisticated America," said Dr. Boese. “Through this seminars, in-house training learning systems offer students large-scale initiative, we will advocate and courses and workshops. a direct axis to industrial knowl- promote advanced manufacturing as a edge and technologies. These viable, attractive and lifelong career option Training programs are offered learning systems place students for students and new and incumbent for teachers, students, engineers in real life situations and enable workers in the U.S.” and technicians and provide them to quickly gain practical comprehensive training in experience of high tech compo- CPCC’s goal is to match job training in mechatronics, automation nents used in factory and Germany so closely that a student can start technologies, process optimiza- process automation. The systems his/her studies in Germany in these subject tion, information technologies cover all relevant fields of areas and complete them at CPCC or and communication. Learning automation and manufacturing vice-versa. Students completing these systems and training modules – from mechatronics, electrical programs earn the equivalent of an IHK can be combined and scaled to engineering and logistics to specialist certification. cater to the range of demands production process optimization. of different industrial sectors These intuitive learning systems Overall, there are approximately 200 German and educational programs. As a are complimented by solutions companies with facilities in the Charlotte global partner for companies, that train problem solving skills, region and another 300 in the Carolinas. The countries, universities and communication and quality 200 German companies in the Charlotte schools Festo Didactic plans and management. region currently employ 15,000 people.

10 German American Trade Jan/Feb/Mar 2015 COVER STORY

Interview with Dr. Nader Imani CEO, Festo Didactic, Inc.

GAT: Festo recently made headlines so that companies can regain with the opening of the Festo momentum and remain competitive. Didactic Center for Workforce Technology Education in Eatontown, Through its operations in New Jersey NJ. What were the reasons for this and its significant presence through- commitment to the U.S. in form of out the U.S., Festo Didactic is aiming an extensive investment? to address the demand of education and technical training. We will offer Dr. Nader Imani (NI): Festo basic education and training in high Didactic is the leading global schools, community colleges and provider for technical educational universities, as well as further institutions, consulting and education education for industrial operators, providers for the automation indus- maintenance technicians and design try. We design and implement engineers. The former will be part of learning factories and training Festo Didactic learning systems for programs that systematically prepare technology and production engineer- Dr. Nader Imani, CEO, Festo Didactic, Inc. people to be able to work in dynamic ing at large, whereas the latter will and complex industrial environments. be a platform for seminars and Our aim is to maximize learning stackable qualification modules. While many European countries gains in schools and training centers, continued to manufacture and and to make a lasting contribution to We will work with educational considered manufacturing to be the improve competencies in the manu- suppliers to bridge education and the backbone of their economy through- facturing industry around the world. labor market in industrial production out the 20th Century, the U.S. to secure millions of workers jobs in outsourced much of its manufactur- The U.S. is a lucrative education the U.S. and beyond, where the ing and is now in the process of market as it has the highest per manufacturing economy is booming. shifting manufacturing back to the capita expenditure in the world for K U.S. While many manufacturing – 12, as well as for further academic GAT: In what way do the tech- companies in Europe continued to education. Additionally, manufactur- niques employed in the U.S. innovate their best practices, U.S. ing is booming in the U.S. due to a manufacturing industry differ from manufacturing companies have only massive reindustrialization move- their European equivalent and how recently started to integrate advanced ment. Manufacturing practices in the does Festo Didactic adapt its suite manufacturing technologies. This U.S. are shifting production toward a of products and services to this caused a sudden and significant higher, value added generation which market? demand of highly qualified manpow- requires the integration of advanced er which is currently not sufficiently technologies into the factory floor. NI: In order to keep up with fast available in the labor market of the This high tech manufacturing paced global competition, manufac- U.S., where the appropriate education requires a qualified workforce to turers have to continuously improve needs are currently not addressed enable the industry to meet the processes to maximize productivity. systematically in many cases. challenges of global competition. This requires the integration of There is an increased need for innovative and high end technolo- Festo Didactic will work with various continuing and adult education, gies into manufacturing machines stakeholders, including schools, the specific to the manufacturing sector and processes, regardless of location. Departments of Labor and Education,

German American Trade Jan/Feb/Mar 2015 11 COVER STORY

as well as industrial employers and increasingly important factor. How the U.S., as long as access to a employer associations to offer do these trends impact the neces- qualified workforce is available. This products and services that help sary skills on the U.S. labor market? is the last key factor needed to qualify the required manpower which ensure global competitiveness of is desperately needed for the manu- NI: In modern and advanced manufacturing companies in the U.S. facturing sector. manufacturing, production does not focus on cheap labor. It focuses on As the U.S. joins other countries in GAT: We are currently experienc- reduced energy consumption, easy “going green”, manufacturers are ing a trend of “back-shoring” where access to raw material and, most focusing on clean, energy efficient we are moving away from offshore importantly, the proximity to the production and curbing the emission labor strategies and toward a more consumer market in order to reduce of carbon dioxide. This trend creates home-grown approach. In addition, cost for logistics. All of these factors the need for “green skills” within the “going green” is becoming an can be achieved by manufacturing in manufacturing sector and the demand for new professions such as environ- mental officers, energy managers and water/waste water technicians.

GAT: What major challenges lie ahead and what is your strategy to successfully overcome these ob- stacles?

NI: We aim for awareness of our edu- cation programs which are custom- ized to meet the needs of the manu- facturing sector. We understand the demands of the industry and provide the necessary training for the industry. We intend to define and set Connected Learning created by Festo; an innovative way to learn on time and on demand quality standards and certifications for education and training programs which will guarantee employability for students and also ensure the productivity of employers and industries who employ young graduates and qualified manpower.

Contact: Festo Didactic, Inc 607 Industrial Way West Eatontown, NJ 07724 Tel: (732) 938-2000 >> www.festo-didactic.com/us-en Festo Didactic Center for Workforce Technology Education in >> www.festo.us Eatontown, NJ, incubating a partnership in between industry and education.

12 German American Trade Jan/Feb/Mar 2015 B:7.5” T:7” S:6.5” B:11.375” S:10.375” T:10.875”

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German American Business Outlook 2015 German Companies Grow with Rising Demand By Jan Vater & Nicola Michels, GACC n December 8, 2014 Thomson USA and GACC Midwest subsequent- OReuters opened the doors at ly addressed the audience and their Times Square HQ to the described one of the most significant members of the German American challenges that became apparent in Chambers of Commerce, internation- the results of the survey: “We found al guests, government officials and in our survey that the share of press for the presentation of the companies with difficulties identify- GABO 2015 results. Caroll H. ing skilled employees jumped to 65 Neubauer who holds the position as percent up from 49 percent last year.” Chairman & CEO of B.Braun Medical Inc., took the stage and welcomed Consequently, investment in educa- the numerous guests in his function tion and training tops the reform as Chairman of the GACC New York. agenda of German companies. The Mr. Neubauer cheerfully stated: German American Chambers of “German businesses in the U.S. are Commerce are currently pursuing the currently doing well and growing expansion of German-style dual and anticipate continuing to do so.” education programs for vocational training throughout the United W. David Braun, Partner at Quarles & States, especially in conjunction with Brady LLP and Chairman of AHK advanced manufacturing firms.

Thomson Reuters HQ at Times Square hosts GABO 2015 The panel of industry executives, the GACCs Management & Chairmen with Ambassador Wittig and Thomson Reuters Moderator Rob Cox

14 German American Trade Jan/Feb/Mar 2015 SPOTLIGHTS

EXECUTIVE SURVEY SUMMARY

Key Takeaways Policy Recommendations from the German‐ American Business Community n German companies continue to grow as a result of a strong U.S. market performance. With rising investments n The newly constituted Congress should act now to and continuous hiring, German firms encounter labor grant the Obama Administration the Trade Promotion shortages in STEM related fields. Authority (TPA) in order to short track trade agreements n The Transatlantic Trade and Investment Partnership like TTIP. (TTIP) is gaining importance, with businesses anticipat- n Addressing U.S. fiscal concerns and tax reform would ing lower tariffs and better regulatory cooperation to further restore market confidence and improve long provide future growth incentives. term economic growth potential. n Many companies have not exploited innovative n Investment in education and training tops the reform opportunities through Industry 4.0 (Smart Factory, Big agenda of German companies. Data), which could prove to be game changers for future growth and global competitiveness.

Challenges for German American Businesses Business Outlook

of German companies see of German companies expect TTIP as an important positive revenue growth for their 69% measure in comparison to 98% own business and the U.S. economy just over 50% last year. in 2015. Companies are hoping to see an elimination of tariffs of German companies reported the and better regulatory same or much better sales volumes cooperation. 90% in 2014 – despite flat sales prices. German companies focus on of German companies report introducing new products and difficulties identifying process optimization. 65% employees with adequate skills, up from 49% last of German companies are increas- year. Especially large firms ing their strategic focus on the U.S. hired less than previously 64% in connection with market size and anticipated. customer proximity.

For the sixth consecutive year, 1,100 headquarters of German subsidiaries were approached for this survey in the fall of 2014. Approx. 10% of senior management responded, mostly Mittelstand firms (German SMEs).

Survey conducted by:

German American Trade Jan/Feb/Mar 2015 15 SPOTLIGHTS

Besides the challenges of identifying skilled labor, the GABO survey confirms the importance of another highly debated topic: The Transatlan- tic Trade and Investment Partnership (TTIP) is gaining momentum, with 69 percent of German companies seeing TTIP as an important measure, in comparison to just over 50 percent last year. Firms are hoping to see an elimination of tariffs and better regu- Dr. Hans-Ulrich Engel Chairman & CEO of BASF Corp. latory cooperation. Ambassador to the Federal Republic of Germany Peter Wittig focused on the trade agreement in his speech. He lauded the progress that has been achieved but noted that considerable issues still needed to be resolved referring Ambassador to the Federal Republic of Germany Peter Wittig

Detlev von Platen President & CEO Porsche Cars North America, Inc.

Dr. Anna-Katharina Wittenstein Chairwoman Wittenstein Holding Corp

James Sharp The three GACC Chairmen on Times Square, Dec 8. 2014 Martin Richenhagen (GACC South), President Carl Zeiss Inc., Carl Zeiss Microscopy LLC Caroll Neubauer (GACC NY) and W. David Braun (GACC Midwest)

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to misconceptions about the agree- Anna-Katharina Wittenstein, Supported by: ment for example that TTIP might Chairwoman, Wittenstein Holding lower environmental or health Corp. The panelists thoroughly standards. He shared the standpoint discussed the key findings of the that there should not be special survey as well as current economic investor protection built into the trends and took time to answer agreement, saying that “both our questions from the audience. legal systems are functioning and guarantee the rule of law – also for In regards to energy prices, Dr. Engel foreign investors.” put the importance of low energy prices into perspective by pointing out Moderator Rob Cox (Editor of Reuters that the difference between U.S. and Breakingviews) led through the German energy costs only marginally second half of the evening which influence investment decisions. For consisted of an exclusive industry example, BASF values the proximity panel discussion. Among the to key customers as a higher factor panelists were Dr. Hans-Ulrich Engel, when it comes to making investments. Chairman & CEO, BASF Corporation; In addition, he underlined the James Sharp, President, Carl Zeiss importance of a European/American Inc., Carl Zeiss Microscopy LLC; free trade agreement which would Detlev von Platen, President & CEO, reduce costs through customs by 2 Porsche Cars North America; and Dr. billion dollars annually.

Networking Reception on the top floor at Thomson Reuters

German American Trade Jan/Feb/Mar 2015 17 SPOTLIGHTS

The Winner: Nigeria Williams Trainee in the two-year Skilled Metal Worker Program at MTU America Inc. By Sarah Reuter, GACC

or the third time, the German At 7.6% (September 2014), Germany and that everyone has to work FAmerican Chambers of Commerce has the lowest youth unemployment together to get a successful finished presented the GACC Award, recog- rate of any industrialized nation in product.” She comes to work with a nizing outstanding German subsid- the world. This is largely a result of “can-do” attitude and is always iaries that demonstrate excellence in the traditional German vocational positive about her day. workforce training by fostering training path, chosen by 55% of all advanced skills and competence school graduates. Opportunities to Nigeria shows great dedication in development, especially in young gain specialized technical skills sharing her positive training experi- people. significantly improve job prospects. ence and rising interest in the High-level vocational training offers apprenticeship program – especially students viable leads to advanced for young women. She participated in employment positions and provides a “Girls Day” event where she gave a companies with a powerful tool for speech to 80-90 young high school filling workforce needs across a women about the manufacturing spectrum of specialties and positions. workplace. Additionally she gave interviews to the local TV news This year, the popular Trainee of the stations, illustrating that the MTU Year award which is sponsored by apprenticeship program represents an FESTO, went to Nigeria Williams, exciting career training opportunity Trainee at MTU America Inc. As the for young people throughout the area. first young woman in MTU’s Skilled Metal Worker Program, Nigeria After completing the program, illustrates, by example, that women Nigeria plans to study mechanical can be successful in the manufactur- engineering and wants to continue ing environment. Nigeria started her working for MTU. “Although while in apprenticeship after high school college, I would still like to work at graduation and has shown great MTU. Then once my four years of commitment, eagerness to learn and college are completed, I would like to a strong work ethic from her first have a permanent job at MTU, and day on at MTU. During her appren- help play a big role in supporting the ticeship program, she has taken on plant realize its higher goals.” assigned tasks and has consistently set a new higher standard of success MTU America Inc. is the regional in each assignment. Her leadership headquarters of Rolls-Royce Power serves as an example of excellence to Systems. As a technological leader in other apprentices. off-highway power and propulsion Besides her outstanding technical systems, the company is responsible achievements, Nigeria is also a for the manufacture, sales and Nigeria Williams valued team player. “I learned that service of MTU and MTU Onsite GACC’s Trainee of the Year 2014 engineers have a lot of responsibility Energy products throughout the

18 German American Trade Jan/Feb/Mar 2015 You want ... United States, Canada, Mexico, Latin forefront of establishing quality America and the Caribbean. MTU standards for vocational training that ● Corporate Banking and America's core products — MTU are identical with the requirements in Transaction Services diesel engines and MTU Onsite the German Vocational Education Energy distributed energy systems and Training Network (VET). What ● Structured Finance, Capital — can be found in a broad range of makes this program so unique is the Markets and Investment applications — from mine haul fact that, like in Germany, trainees trucks, military vehicles and marine are able to begin their company Products vessels to hospitals, data centers and career path at the age of 16, a universities. pioneering milestone in the U.S. ● Access to Western, Central Upon completion their educational and Eastern Europe MTU America is the first company to pathway does not have to end here. have established a two-year Skilled Graduates have the possibility to Metal Worker Program in the United apply for company support in order States fully accredited by the to obtain an Associate's, Bachelor's Association of German Chambers of or even a Master's degree. Commerce and Industry (DIHK) as Sponsored by: well as the German American Chambers of Commerce (GACCs). Such distinction puts MTU at the

Please contact: UniCredit Bank AG New York Branch 150 East 42nd Street New York, NY 10017 Tel. +1 212 672 6000 www.unicredit.eu ADVERTISEMENT Nigeria Williams, first young woman trainee in the two-year Skilled Metal Worker Program at MTU America Inc. Investment Banking, Capital Markets and Investment Services are provided in the US by UniCredit Capital Markets LLC, a member of FINRA and SIPC. This advertisement has been issued by UniCredit Bank AG, a member of the UniCredit Group of companies. UniCredit Bank AG is regulated by BundesanstaltGerman für AmericanFinanzdienstleistungsaufsicht Trade Jan/Feb/Mar (BaFin).2015 SPOTLIGHTS

GACC Highlights of 2014

GACC South GACC New York New Year’s Receptions New Year’s Reception 2014 January 2014 January 8, 2014 Atlanta, GA, Houston, TX, Harvard Club, NY Charlotte, NC and Duncan, SC The GACC’s New Year’s Reception was the first annual highlight of the GACC New York and a way to welcome the New Year. More than 150 participants – high-level representatives of German and U.S. firms and their guests – came together to listen to guest of honor Anthony J. Kuczinski, President & CEO of Munich RE International speaking on the topic of natural disasters and their impact on infrastructure investment.

GACC West GABO West Coast The GACC South hosted four New January 16, 2014, Silicon Valley Bank, Santa Clara, CA Year’s Receptions in Atlanta, GA, Houston, TX, Charlotte, NC and For the first time, the results of the the opportunities of the Transatlantic Duncan, SC to ring in the new year German American Business Outlook Trade and Investment Partnership. and honor the longstanding members were presented on the West Coast. The The first German American Business of the GACC South. In Atlanta, guests outlook featured an interesting panel Outlook event on the West Coast was had to brave the snow to enjoy an discussion about the economic well received among the attendees evening of special cocktails, delicious outlook of 2014, German-American from leading German and American German delicacies and fun games in business growth in the Bay Area and companies in the Bay Area. the foosball-lounge at the GACC South Office. Members and friends of the GACC South in Houston net- worked in a casual atmosphere at a trendy Cajun-style pub. Charlotte toasted the New Year with a festive and intimate gathering at Sabine & Mike Birkle’s home, and the South Carolina Chapter celebrated both the new year and the welcoming of its new Chapter Director, Vincenc Pearson, with a ribbon-cutting ceremony at the DAA Draexlmaier Automotive of America LLC plant in Duncan. Honorary guest of the evening included Lindsey Graham, U.S. Senator for South Carolina.

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GACC Midwest Economic Forum GACC South Roundtable & Reception February 6, 2014 with EU Trade Commissioner Karel de Gucht Hilton Rosemont March 6, 2014, GACC South office, Atlanta, GA Chicago O'Hare, IL A profound demonstration of provided attendees with an Moderator W. David Braun, Chairman, unity took place at the GACC update on the continuing GACC Midwest & AHK USA and South office as over 70 guests and negotiations of TTIP and raised Partner, Quarles & Brady LLP, opened members representing more than awareness of its benefits among the formal program, leading economist 13 European nations from companies in Georgia and the Adolfo Laurenti gave his much bilateral European Chambers in Southern region. anticipated transatlantic economic Atlanta united to welcome EU outlook for 2014 with positive expecta- Trade Commissioner Karel de tions for the U.S. and Germany. The Gucht for a roundtable and following roundtable featured the CEOs evening reception. During the of Ipsen and Wittenstein, Geoffrey roundtable discussion, Commis- Somary and Peter Riehle, who dis- sioner de Gucht and representa- cussed the importance of continuous tives of the European Chambers innovation and responsiveness for their addressed potential challenges businesses’ success in a transatlantic and opportunities of the Transat- framework. The roundtable was lantic Trade and Investment completed by remarks on the ongoing Partnership (TTIP) for companies TTIP negotiations by the Representative in the South. Discussions contin- of German Industry and Trade, ued through the evening recep- Dr. Thomas Zielke. tion, as Commissioner de Gucht

GACC Philadelphia The Big Data Revolution March 27, 2014 SAP Headquarters Newtown Square, PA

SAP Americas’ headquarters in Newtown Square, Pennsylvania hosted an open house for members of the GACC Philadelphia. This sold-out event featured a tour of SAP’s LEED Platinum facility and big data tour bus. Guests enjoyed a presentation by Peter David, CFO, and were able to see examples of how large and small companies use big data software to optimize their revenues and marketing efforts.

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GACC South GACC Midwest GACC New York Automotive German Mittelstand – Michigan Chapter: Forum - Is the Future Electric? Southern SME Forum Annual SAE Dinner Reception April 17, 2014 April 7, 2014 April 8, 2014, Detroit, MI Ernst & Young LLP, NY Greenville, SC The Michigan Chapter hosted its With more than 200 representa- 21st annual SAE Dinner Reception tives of the German-American coinciding with the 2014 SAE World business community of the Congress. The event was held at the Southern U.S. Participants of the Detroit Athletic Club and was attended all-day business conference built by 200 plus guests. Master of Ceremo- valuable partnerships, exchanged nies was Fred Hoffman, Honorary ideas during two panel discus- Consul of the Federal Republic of sions on the Transatlantic Trade Germany. Attending from the Chamber and Investment Partnership were Simone Pohl, President & CEO, (TTIP) and the Energy Mix of the and Dieter Lehnert, Manager of the Future, and gained insights on Michigan branch office. This year’s The GACC New York topped off the innovative business strategies key note speaker was Dr. Andrew opening day of the New York Auto during workshops focused on Brown Jr., Vice President and Chief Show with a panel discussion on various topics, including Effec- Technologist at Delphi. He presented electric cars at Ernst & Young’s tive Marketing & PR Strategies, on "Megatrends: 2014 and Beyond", impressive Times Square venue. Human Resources & Recruitment, identifying key drivers of future Welcoming words from Jean-Fran- Intercultural Competence, automotive technologies. These cois Tremblay of Ernst & Young’s and Lobbying in Washington, include automated lifestyle, demo- mobility division and Dietmar Rieg, D.C. Following the conference, graphic shifts, regionally based growth, CEO of the GACCNY, were followed GACC South members in good comfort and convenience, safety, by a vivid discussion about the standing elected the 2014 Board security, and privacy, the connected future of electric vehicles. Chaired of Directors at the Annual world, urbanization, government by John Voelcker, editor of Green General Meeting. intervention, among others. Car Reports, the panel consisted of Jacob Harb (BMW), Dr Nic Lutsey (International Council on Clean Transportation), Douglas Skorupski (VW), and Chelsea Sexton (Industry Advisor & Consultant). Besides the latest EV concept cars and available models of the two German car manufacturers, the most discussed topic was range of EVs and how it affects price, demand, and usability of this technology.

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GACC Midwest MERLIN GACC West White Asparagus GACC Midwest Minnesota Awards Gala 2014 Gala Dinner 2014 Chapter: Annual Gala May 2, 2014 May 9, 2014 May 16, 2014 Intercontinental InterContinental Sheraton Bloomington Hotel, Chicago, IL Mark Hopkins, San Francisco, CA Bloomington, MN

At a time of continually increas- More than 200 guests experienced ing trade and investment between a festive evening, including an Germany and the U.S., our annual elegant dinner, a sumptuous MERLIN Awards Gala honored sampling of international and companies who have excelled in domestic wines, entertained German-American business. This by the musical stylings of award- year the following companies were winning vocalist Patty Peterson. presented with an award: DB Charles “Rocky” Hughes, Area Sediments GmbH as Outstanding Manager The Americas at new Innovator, Baumann Consulting as member and platinum sponsor Outstanding Service Provider, and The GACC West hosted its 3rd annual Condor Flugdienst GmbH – who MAT² for Excellence in Vocational White Asparagus Gala Dinner at the graciously also donated flight Training. Following a Silent InterContinental Mark Hopkins in San vouchers to the gala – as well Auction where we even raffled of Francisco. Around 120 guests from the as Peter Lefkin, Senior Vice two Lufthansa Round-Trip tickets, German-American business community President at Allianz of America we celebrated the 20th Anniver- in the Bay Area enjoyed a delightful held speeches. Monique of sary of the Chicago Hamburg dinner featuring the German delicacy. Switzerland, a lifetime member Sister City relationship. Guests The white asparagus, which is often of GACC Midwest, MN Chapter, enjoyed a first-class menu with referred to as "edible ivory," was was a diamond sponsor. Very select German delicatessen, harvested in Germany a week before valuable to the event were the following the sister-city theme. the dinner took place and imported German & International Business And we had the Beatles on stage directly to San Francisco for the event. students from the University – almost! A cover band paid Another highlight of the evening was of St. Thomas and the University tribute to the famous band that the musical entertainment provided by of Minnesota Twin Cities, started their career in Hamburg. Panique Jazz, the San Francisco who impressed the guests with Conservatory of Music and the GISSV their professional support String Quartet. as volunteers.

German American Trade Jan/Feb/Mar 2015 23 SPOTLIGHTS

GACC New York White GACC South TTIP Conference (Miami & MAC) Asparagus Dinner 2014 June 19, 2014, Miami, FL September 10, 2014, Atlanta, GA May 29, 2014 Tribeca Rooftop, NY In 2014, the GACC South helped to September 10th, the GACC South increase awareness and understand- partnered with the Metro Atlanta ing of the Transatlantic Trade and Chamber, the Swedish-American Investment Partnership (TTIP) and its Chamber of Commerce and the benefits through two successful Trans-Atlantic Business Council to conferences. On June 19th, the GACC host the “Jobs and Economic Growth South organized “The Future of for Atlanta: How TTIP Will Help” EU-US Relations - What Benefits conference. The conference, funded Will the TTIP Bring?” conference, by the EU Delegation to the United hosted in Miami, FL by the EU States, provided over 100 participants Delegation to the United States. The valuable knowledge sharing opportu- conference united 60 key decision nities through multiple keynote makers and industry leaders from presentations by leading experts and local organizations interested in the representatives of transatlantic EU, and featured a TTIP Panel relations, and a panel discussion Discussion concentrating on the comprised of local company execu- advantages and opportunities of a tives discussing export and FDI comprehensive TTIP agreement. On success stories.

For the 11th time, 300 guests - GACC members, high-level represen- tatives of German and U.S. firms and their guests - came together at the premier annual event of the GACC New York. The 2014 White Aspara- gus Dinner offered prime networking opportunities, new economic insight and a unique taste of German cuisine at the memorable Tribeca Rooftop venue. The reception prior to the dinner was held on the lavish terrace featuring a breath-taking view over the Big Apple.

GACC New York Soccer Event: USA vs. GERMANY June 26, 2014, Midtown 1015, NY

On its way to the world cham- The venue filled quickly with fans of pion title 2014, the German both teams. U.S. fans were rewarded soccer team successfully played an extra surprise gift, if they showed various exciting matches. On June up in a U.S. Jersey. Loud cheers filled 26, the GACC New York invited the venue when Thomas Mueller German and U.S. soccer fans to the scored his ninth World Cup goal in sports bar Midtown 1015 to watch the nine games, leading the German team match and enjoy snacks and drinks. to victory and into the next round.

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GACC New York GACC Midwest Inspiration for GACC West Oktoberfest Business Roundtable Innovation Forum 2014 2014 with Mayor of Jersey City, September 19, 2014 September 25, 2014 Steven M. Fulop The Abbey Resort, Fort Mason Center, June 27, 2014 Lake Geneva, WI San Francisco, CA City Hall, NJ Investing in innovation ensures The lack of skilled labor affects competitiveness, job creation, and almost 50% of the German subsidiar- sustainable growth. We acknowledged ies in the United States. Companies the importance of innovation with a face huge challenges filling posi- new signature event this year, the tions. The German American Cham- Inspiration for Innovation Forum, ber of Commerce, Inc. is therefore hosted at the Abbey Resort at Lake partnering with a new initiative in Geneva. Howard Tullman, CEO of New Jersey entitled “Force21." The Chicago’s famous start up hub 1871, goal of the Force21 program is to kicked off the event with an engaging grow the next generation of technol- presentation in which he introduced 5 ogy workers and delivers a system of major trends for the future of options in design, fabrication, and innovation. He was followed by two mechatronics to New Jersey employ- panel discussions on innovation as ees and residents. Mayor of Jersey well as growth strategies, in which City Steven M. Fulop shared his featured speakers from a wide range long-term perspective on the of industries openly discussed their potential Force21 offers to industry challenges, concerns and possible and commerce in New Jersey and solutions. We concluded the day of New York with a broad audience at inspiration with our very own City Hall, Jersey City. Midwest Oktoberfest.

GACC Midwest German Night Reception at IMTS September 9, 2014, McCormick Place, Chicago, IL Over 200 guests celebrated the second GACC Oktoberfest at the Our team had a very busy week at who in their speeches stressed the im- festively decorated Fort Mason this year’s IMTS, co-located with portance of German companies for Center in San Francisco. Dressed up Industrial Automation and MDA the U.S. market. in dirndl and lederhosen, the crowd North America, at Chicago’s McCor- rocked the dance floor to original mick Place, given the significant Oktoberfest music by Blow Music! representation of German companies and Bayern Maiden. Not only ears and pavilions at the show. This was but also tummies were happy: impressively highlighted by the From grilled sausages to pretzels to record attendance of over 330 spätzle and sauerkraut - authentic participants at this year's German German food and steins filled to Night Reception, which we organized the brim with original Hofbräu at the trade show. Our Chairman of Oktoberfest beer left nothing to be the Board of Directors, W. David desired. The popular signature Braun, welcomed the guests and event had been sold out in advance introduced Annika Klar, Director at and was, again, a huge success. Deutsche Messe, Rich Huss, CEO, Festo Corp., and Adam Pollet, Director Illinois Department of Commerce & Economic Opportunity

German American Trade Jan/Feb/Mar 2015 25 SPOTLIGHTS

GACC Midwest Wisconsin GACC West 10 Year Anniversary Chapter: Member Open October 21, 2014, One Market Restaurant, San Francisco, CA House at GE Healthcare October 9, 2014 Around 65 high ranking representa- welcomed the guests to this special Waukesha, WI tives of the German-American occasion. Guided by GACC West business community joined the GACC Managing Director Rene van den Mr. Troy Lewein, MRI Advanced board members to celebrate the 10 Hoevel, an evening full of stories Applications Leader at GE, welcomed year anniversary of the GACC West about early and late German pioneers the group of around 40 participants at One Market Restaurant in San in the Bay Area demonstrated the with an introduction to GE Health- Francisco. Caroll Neubauer, Chair- sometimes impalpable but deeply- care, its initiatives and its strong man of the board, Sabine Hepperle rooted impact Germans had and still partnership with Germany. The Open from the German Federal Ministry of have on Californian economy and House included special guest Mr. Economics, Mark Chandler of the culture. The history of German Mario Soos, Deputy Consul General San Francisco Mayor's office and entrepreneurship in the Bay Area of the Federal Republic of Germany Felix Neugart of the Association of was also captured in the Anniversary who offered insight to the current German Chambers of Industry Book published by GACC West. state of German-American relations followed by a discussion. The evening was rounded out with a GACC West German GACC Philadelphia Bertels- presentation by Amy Gallenberg, Innovation Symposium mann/GACC TTIP Town Hall Clinical Program Manager of the GE/ October 21, 2014 October 22, 2014 NFL Collaboration, on “Current Bechtel Conference Center, Philadelphia, PA Topics in Healthcare – The Partner- San Francisco, CA ship between GE Healthcare and the The drew over 100 members of the National Football League (NFL) in On the occasion of the visit of the German chamber, as well as other Concussion Research.” The event board members of the GACC and the Philadelphia international organiza- concluded with a showcase of the GE Chamber's 10th anniversary, the tions. The Town Hall featured guest Healthcare MR demonstration rooms. GACC West held a half-day sympo- panelists Rob Nemchik, CEO of sium on German innovation. In the Porsche Logistics, Andrea Canepari, keynote presentation by Burton Lee Consul General of Italy, and from the Stanford Engineering Katherine Kalutkiewicz, Associate School, around 80 attendees learned Chief Negotiator from the Office of how Europe and the U.S. nurture the United States Trade Representa- innovation. Representatives of tive. In addition, the Philadelphia German mid-size companies like Carl chapter hosted one TTIP roundtable Zeiss, Smaato and Biotronik dis- each month in 2014, focusing on a cussed how their companies deal variety of industries or “hot topics” with innovation systems. Representa- related to the negotiations. tives from BMW, Volkswagen, Robert Each time, engaged and diverse Bosch and SAP discussed how the crowds of business people showed newest trends regarding connected support for the TTIP. The success cars drive innovation in the Silicon of these roundtables launched a Valley. The audience was engaged in series of web-videos done in a very fruitful discussion, exchang- collaboration with the Port of Phila- ing American and German perspec- delphia about how the TTIP will tives. affect trade in the region.

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GACC New York GACC South GACC Midwest Skills Initiative Exclusive Business Breakfast 19th Annual Gala Spotlight and Annual Wine with Sigmar Gabriel November 1, 2014 Dinner October 24, 2014 InterContintental Buckhead, November 7, 2014 University Club, NY Atlanta, GA Ritz Carlton, Chicago, IL

Minister of Economics and Vice Chan- Members and friends of the GACC cellor Sigmar Gabriel met the Board of South united at the 19th Annual the German American Chamber of Gala to honor the German-Ameri- Commerce for an exclusive breakfast can business community’s roundtable in Midtown Manhattan. incredible dedication to strength- ening Germany’s economic Gabriel showed great interest in the presence within the Southeastern perspective of transatlantic business United States. This year, guests from this side of the pond. He shared were welcomed at a new venue, his views on current transatlantic the exquisite InterContintental developments such as TTIP - the Buckhead Atlanta, and enjoyed an Transatlantic Trade and Investment elegant evening posing at the Red Partnership - between the EU and the Carpet Backdrop, bidding on over Panelists presented current and U.S. This trade agreement is expected to 100 unique items showcased in the future skills projects in the Midwest, remove customs duties and other trade Silent Auction and dancing the moderated by Mark Tomkins, Vice barriers, thus creating economic growth night away at the first official President of GACC Midwest. Michi- and jobs. With 800 million consumers, After Party. Guests of honor gan’s Advanced Technician Training TTIP would create the world's largest included Mayor of the City of (MAT²®) Program was represented by economic zone. The GACC Board Atlanta, Kasim Reed, President of Uwe Krueger (President & CEO of expressed its support for the agreement. the Southern Christian Leadership FTE automotive North America). Other topics such as the lack of skilled Conference, Dr. Charles Steele, Jr. Girish Seshagiri (CEO of AIS, Peoria) labor and the introduction of German- and Consul General of the Federal introduced CICESS – Central Illinois style dual education models within a Republic of Germany, Christoph Center of Excellence for Secure few clusters throughout the United Sander, among others. Software. And Mario Kratsch, GACC States were also discussed. Midwest's new Director, Skills Initiative, introduced ICATT – Illinois Consortium for Advanced Technical Training for the first time!

At our Annual Wine Dinner after the panel, we got to enjoy a superb selection of wines by our generous sponsor Udo Heinz Consult, accom- panying a delicious 7-course menu by German chef Martin Knaubert at the Ritz Carlton. A highlight of the evening was the tribute to our anniversary members, including Lufthansa who celebrated 50 years!

German American Trade Jan/Feb/Mar 2015 27 SPOTLIGHTS

GACC South & GACC Midwest Automotive Supplier Delegation GACC New York Martinsgans Nov 10 – 14, 2014, Detroit metropolitan area and Southeast Dinner 2014 November 12, 2014 GACC Midwest hosted twelve tions by Dr. David L. Bodde of Metropolitan Club, NY German automotive supplier compa- CU-ICAR and Matt Winkler, Senior nies in Michigan providing each a Manager of Purchasing - Direct unique opportunity to explore the Materials at DAA Draexlmaier U.S. automotive market. The visit to Automotive of America LLC. Compa- the greater Detroit metropolitan area, nies had the opportunity to meet the heart of the U.S. industry, took individually with business partners, place from November 10-12. The sales representatives and potential companies represented innovative clients both in the Detroit area and technical production and process the Southeast. optimization technologies designed The companies represent innovative and targeted for the automotive technical production and process industry. The program included a optimization technologies designed conference with an inspired keynote and targeted for the automotive speech from Birgit Behrendt, Vice industry. Each of them was paired President, Global Programs & with potential strategic business Purchasing Operations, Ford Motor partnerships and new customers, Company, and then travelled to the helping them decide if the U.S. South, where the GACC South hosted market is a fit for them. The project a product presentation event at the was sponsored by the German Clemson University International Ministry of Economics and Energy in Center for Automotive Research the context of the Ministry's market (CU-ICAR) in Greenville, SC. The development program for small to event also included expert presenta- medium-sized businesses. For the 5th time, 250 guests - GACC members, high-level represen- tatives of German and U.S. firms and their guests – came together to experience prime networking opportunities, new economic insight and a unique taste of German cuisine. This year's venue The Metropolitan Club offered a tradi- tional New York atmosphere. Guests enjoyed the exclusive ambience of this historic New York landmark and the authentic German dinner in the heart of Manhattan.

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GACC South GACC Midwest GACC New York STEP NYC Climate Symposium Colorado Chapter: Startup Demo Night November 12 &13, 2014 Denver Christkindl Market December 3, 2014 Houston, TX and Tulsa, OK November 21–December 23, WeWork, NY 2014 Denver, CO

The Colorado Chapter opened its 14th annual Denver Christkindl Market on November 21. Vendors from Europe and the Colorado area displayed their wares and visitors got to enjoy unique sights, sounds, smells and tastes. Together with the World Trade Center, the Colorado Chapter hosted the last Euro Networking of the year for the European business community at the The 1st Climate Symposium Market. Award-winning Chef Walter brought an international panel of Neuhold prepared a delicious buffet of New York City is currently the fastest- experts together to showcase authentic German cuisine. Before growing technology and startup center innovations and new developments networking in the holiday tent, some of the world. With its very dynamic with positive impact on both participants used the opportunity to ecosystem and abundance of investors, innovative mining and the environ- stop by the craft vendors' booths in New York City is a prime location for ment. Supported by the Climate Fond the market in order to get their startups. The GACC New York proudly of the Federal Foreign Office in Christmas shopping done early. announced its first Startup Entrepre- Germany, the symposium analyzed neurship Program in New York City pertinent environmental consider- (STEP NYC). Four times a year, the ations and promoted Germany’s German American Chamber of Com- expertise in Clean Technologies. Four merce, Inc. New York offers German speakers per venue addressed topics startup companies the opportunity to in the oil & gas lifecycle ranging participate in a 5-day program in New from environmental regulations, York City. On December 3, the first exploration technologies, water round of participants, a selected a group treatment, to future gas resources. of innovative companies, pitched their Participants from Chevron, Benteler company to the audience and a panel Steel & Pipes Corporation, govern- of venture capitalists. mental organizations and several universities added their voice to the GACC German American Business Outlook 2015 discussion and made for a stimulat- December 8, 2014, Thomson Reuters, NY ing and informative exchange between theory and application. This For the sixth consecutive year, the survey, showing the success of Climate Symposium paved the way German American Business Outlook German companies in the United for a future series of similarly (GABO) monitored the state of States, as well as their outlook for focused conferences. German-owned subsidiaries in the future growth. The study showed that U.S. On December 8, at the offices of German companies grow with rising Thomson Reuters, the German demand, but 65 percent struggle to American Chambers of Commerce, fill job vacancies. This year’s award the Representative of German went to “Trainee of the Year” Nigeria Industry & Trade, and Roland Berger Williams, for her accomplishments Strategy Consultants reported the during a trainee program at MTU. results of their annual business

German American Trade Jan/Feb/Mar 2015 29 SPOTLIGHTS

GACC Philadelphia Celebrates 25 Years By Lindi von Mutius & Emily Parente Roberts, GACC

n September 26, 1989, a group Pennsylvania as their top destina- to the Philadelphia region. “Under Oof intrepid business leaders tion. Several hundred German GABA we all had to chip in,” formed the German American companies, including notable giants recounts Barbara Afanassiev, former Business Association of Greater like SAP, Siemens, B.Braun, Bayer, President of the GACC Philadelphia Philadelphia (GABA). Stephen and Lufthansa have headquarters in and Honorary Consul of the Federal Stambaugh, one of the early founders, the state’s two main hubs of Phila- Republic of Germany. Under the remembers, “we formed the German delphia and Pittsburgh. However, the leadership of Chairman, Hans Wolf, American Business Association of early leaders of GABA also felt that a the organization began to grow. Greater Philadelphia (GABA) with the regional focus was necessary, given mission to nurture and expand the the proximity of financial and Ironically, the founders had begun business relationships between manufacturing centers in Delaware thinking about GABA before the Germany and the United States.” and New Jersey. Berlin Wall fell. However, once the reunification of Germany began, it The Philadelphia Region has a long Ellene Felder-Scharnott remembers, charged the GABA community with and rich German-American history, “our goal was to meet the members increased vigor. Interest in trade beginning in 1683, when the first of the German business community between the U.S. and Germany permanent German settlement was to gain insight into how best to do escalated. “By October 1989, all the founded in Germantown, a short five business in Germany.” For the first turbulence in Europe was getting miles from downtown Philadelphia. five years, GABA volunteers worked into high gear, and by November we Large numbers of Germans migrated tirelessly to build a membership base, said, ‘Wow, now let's go full steam,’” from the 1680s to 1760s, favoring and attract new German companies remembers Monika Krug, a GABA

GACC members celebrate the 25th anniversary at a gala held at the Franklin Institute.

30 German American Trade Jan/Feb/Mar 2015 SPOTLIGHTS

“We formed the German American Business Association of Greater Philadelphia with the mission to nurture and expand the business relationships between Germany and the United States.” Stephen Stambaug founding member. GABA responded individuals, ranging from large with programs designed to guide companies to young professionals, Americans to the opportunities in and hosts at least one event each Germany, especially in the new states month on topics ranging from of the former East Germany. GABA logistics to cyber security and cloud sponsored visits by trade delegations computing. In November, GACC from the new states that resulted in Philadelphia, GACC New York, and many new business contacts and RGIT collaborated on a TTIP and the friendships. As GABA members saw Healthcare Industry workshop that the reinvigoration of the German brought together speakers from economy, they marveled how quickly companies in all regions. trade opportunities grew. On September 26, 2014, GACC By 1994, it became apparent that Philadelphia celebrated its 25th GABA would soon outgrow its anniversary in the Franklin Ballroom organizational framework. That year, of the Franklin Institute. Chairman Executive Directors Lindi von Mutius and Lydia GABA was invited to join the Alfred Gollatz remarked that like Sarson discuss 'women in trade' with Jeanne German Chambers of Industry and Philadelphia’s founding father, the Nevelos of Select Greater Philadelphia. Trade (DIHK) and Chamber (AHK) GACC has faced its share of chal- Some of GABA's founding members (l-r): Hans network and become an affiliate of lenges, but remains an innovative and Wolf, Ellene Felder-Scharnott, Barbara Afanassiev, GACC New York. The affiliation was forward thinking organization. Monika Krug, and Stephen Stambaugh immediately, and unanimously, approved by the GABA Board as the most logical next step for the growing organization. The Board appointed Barbara Afanassiev as the President and Managing Director, and Afanassiev served for the next 24 years in that role. “Coordination always brings new challenges, but we managed to work well together to the benefit of both organizations and our members,” remembers Felder- Scharnott.

After Afanassiev retired, Lindi von Mutius, and now Lydia Sarson have served as Executive Directors. Both are former members of the organiza- tion, which illustrates the passion Philadelphia members feel about their GACC. The GACC Philadelphia membership has surpassed 230

German American Trade Jan/Feb/Mar 2015 31 SPOTLIGHTS

GACC Philadelphia Welcomes Lydia Sarson

ydia M. Sarson is a Fleetwood, able to not only reconnect with Lydia M. Sarson LPA native who has had a family, but make friends who Executive Director life-long passion for Philadelphia would eventually become a part of GACC Philadelphia and German culture and business. my family. Lydia has worked at Hamburg Süd North America for the past three I am passionate about German- years, and previously interned for America business because it is the Philadelphia Independence something I want to see succeed Visitors Center. Lydia received her – especially in the Philadelphia B.A. from West Chester University, area. We are so strongly tied to triple majoring in International Germany, and that allows Philly to Relations, German, and Russian. At work well as an integration city for WCU, Lydia ran both the German German-American business. One and Russian Clubs, and was thing I learned during my exchange nominated to the Pi Sigma Alpha year is that even though our National Political Science Honor cultures are very similar, there are Society and the Alpha Mu Gamma still a lot of nuances which need to National Foreign Language Honor be understood and respected in Society. She also served as a Rotary order for business and relationships International Rotex Coordinator to flourish. 200 South Broad Street, Suite 910 and was an active participant in, Philadelphia, PA 19102 and volunteer for, the Rotary What are some of your goals T: (215) 501-7102 International Youth Exchange for GACC Philadelphia? F: (215) 968-0973 Program. As part of that program, >> www.gaccphiladelphia.com Lydia studied at the Annette von My main goal is to continue the >> www.ahk.de Droste-Hülshoff Gymnasium in progressive expansion which has >> [email protected] Münster, Germany. happened within the past years. >> Twitter: @gaccphilly Specifically, I’d like to work with What is your connection small and mid-sized companies members’ needs through network- to Germany? who lie further outside of the ing and industry-related events. Philadelphia region in the Lehigh This organization is only as strong My connection to Germany started Valley, Berks and Lancaster Coun- as our members and it is my main with my Grandmother, Ingeborg. ties, and Delaware. I want to do goal to assist in strengthening She was my babysitter for the first outreach to those companies who these companies and growing our 5 years of my life and ended up need the support of the GACC and membership in order to continue becoming one of my greatest their members in order to grow the cycle of assistance and support influences. I first started traveling their establishment as well as that the GACC has been doing for to Germany when I was 14 and was continue to nourish the current the past 25 years.

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How Industry 4.0 Changes the Manufacturing Industry By Marc Winterhoff, Roland Berger Strategy Consultants

oing back in time, Western In the U.S. this fourth industrial Gcivilization has already revolution is widely referred to witnessed three industrial revolu- Advanced Manufacturing, while in tions. The first improved efficiency Europe and particularly in Germany through the use of hydropower, the it's referred to as Industry 4.0, which increasing use of steam power and is actually an official program of the the development of machine tools. German government The second brought electricity and mass production (assembly lines), “Industry 4.0" provides the relevant and the third and most recent further answers to the fourth industrial accelerated automation using revolution. It is more than the sum of electronics and IT. its necessary parts. These parts, such as the “Internet of things", "maker Now the fourth industrial revolution movement" or “factory 4.0", are criti- is underway. However, while some cal elements that, when combined, areas will see fast and disruptive offer a step-change in the way goods changes, others will change slowly are produced. Within a traditional and steadily – a more "evolutionary" manufacturing environment this pace. This time, physical objects are gives us Factory 4.0; an example of Marc Winterhoff, Roland Berger being seamlessly integrated into the what to expect as Industry 4.0 information network. The Internet is unfolds (see Diagram 2). ing resurgence in the U.S. since combined with intelligent machines, before, and particularly after, the systems production and processes to The term 'Industry 4.0' is foreign to Great Recession. 'Smart', 'Advanced', form a sophisticated network. The many American industrial leaders. 'Connected', 'Automated' manufac- real world is turning into a huge The concepts it embodies, however, turing are all variations of the same information system. have been critical to the manufactur- theme. The traditional, moderate-to-

Diagram 1: US advanced manufacturing hubs Diagram 2: Factory 4.0 – Overview (example)

34 German American Trade Jan/Feb/Mar 2015 SPOTLIGHTS

high cost manufacturing centers of advanced manufacturing. Two physical manufacturing world with the world must adapt and modernize critical initiatives, Investing in dominance of the IT and high tech in order to maintain industrial Manufacturing Communities worlds. The work to revitalize the relevance. Industry and government Partnership (IMCP) and the National US's manufacturing sector by have responded and U.S. tech and IT Network for Manufacturing Innova- marrying Rust Belt nous with Silicon companies are clear leaders in tion (NNMI), provide funding and Valley know-how is starting to show pushing forward Industry 4.0, support to attract investment, foreign results. The Obama Administration's regardless of what we elect to call it and domestic, in assuring America's interest in fostering the cohesion of in the U.S. place in global manufacturing (see 'old' manufacturing with 'new' tech Diagram 1). can help position US companies to The US government, like Germany's, be a fully vested participant in the has pushed the development of The US combines ability in the Industry 4.0 revolution.

ADVERTISEMENT SKILLS AT WORK Training Tomorrow's Skilled Workforce By Jasmin Welter, GACC “Manufacturing is still not he findings of our recent German Given this pressing issue, companies TAmerican Business Outlook 2015 are now taking the matters in their sexy and we have at showed it very clearly: German own hands with the help of GACC business in the U.S. is growing Midwest. Together they are imple- least two missing steadily, with both production and menting models that follow German generations. This makes sales on the rise. However, this Style Dual Vocational Training as a positive business climate is tainted potential solution to the distinct it impossible to hire for many firms. problems that their industry and/or qualified high energy individual company is facing. This is the dilemma many German people to run our subsidiaries in the U.S. have been It comes as no surprise that German facing: While they are eager to profit companies in the U.S. are among the complex CNC from a growing economy with lots of first ones choosing this option when machines. We currently business opportunities, they are held it comes to workforce Development; back by a lack of skilled workforce. they are familiar with the system, its have more machines What used to be a problem of ‘How outcomes, and its advantages. But the than operators and those much do I have to invest to get a word has already spread far beyond skilled worker to work in my com- the German business community – machines are run pany’ has changed to ‘No money in U.S., French, Japanese, and Italian the world can buy a skilled worker, companies are joining the programs only one shift. If the simply because there’s no one here in the Midwest to train their U.S. wants to focus on available on the market right now’. own workforce based on their specific company’s needs and adhering to the manufacturing we need to In line with this, HR departments are German standard. changing their procedures, shifting form our future employees. from short term activities to mid- or Programs such as MAT2 in Michigan, We need to show them long term strategies addressing two KY FAME in Kentucky, or the new major questions: ‘How can I train my initiative ICATT (Illinois Consortium that manufacturing is own workforce to get them to the for Advanced Technical Training), not a dirty black standards I need?’ and ‘How do I keep and others show, that the German them in my company, to secure my model of Dual Vocational Training underpaid hole.” investment?’ and its standards work in the U.S. Jan Pflugfelder President & CEO KOMET of America, Inc.

Skills Initiative Spotlight Panel

36 German American Trade Jan/Feb/Mar 2015 SKILLS AT WORK

Overview of current programs with GACC Midwest on the steering committee:

ICATT – Illinois Consortium for Advanced Technical Training • German-style dual training at U.S./ German SMEs (e.g. Harting, Herrmann Ultrasonics, Komet, WITTENSTEIN) • Standardized curriculum for a 3-year training in accordance with the dual training model in Germany (Industrial Technician)

Michigan’s Advanced Technician From left: Mario Kratsch, Director, Skills Initiative, GACC Midwest, Mark Tomkins, Vice Training (MAT2) Program President GACC Midwest, Uwe Krueger, President and CEO of FTE automotive North America • 30+ mid-sized companies participating (representing MAT2), Girish Seshagiri, Vice President / CTO, ISHPI (representing CICESS) across 3 community colleges (e.g.: Kostal Even more important: These are with a future perspective totaling up North America, Inc., Brose North America, programs designed for small and to 5 years. GACC Midwest is partner- Inc., Detroit Diesel (Daimler Trucks North medium-sized companies. Pooling the ing with companies, business America), Heller Machine Tools LP, Pontiac Coil, Inc., Hirotec America, ZF North resources in these programs ends up associations, high schools, colleges, America) in high quality / high standard and different initiatives to raise • Standardized curriculum for a 3-year training models that eventually awareness for these models and to training in accordance with the dual produce skilled, loyal, and reliable inform potential students and local training model in Germany (mechatronics, employees. businesses of this option. product design & visualization, IT)

Kentucky FAME Program | KY FAME The advantages of these programs are In the past and still ongoing, GACC • 16 companies participating in exist- two-sided: Companies benefit, and so Midwest has been approached ing program, expanding to 40+ at 2-4 do the trainees. Switching between numerous times by companies, locations in 2015 (e.g.: Toyota Motor blocks of on-the-job-training in business associations, economic Engineering & Manufacturing North companies and training at community development agencies and other America, Inc., Montaplast of North colleges allows to immediately stakeholders to share its competencies America, Inc.,Webasto Product North America, Inc., 3M transfer theoretical knowledge into an and knowledge; leading to actively • Standardized curriculum for a 2-year on-the-floor environment. Trainees promoting, supporting and also industrial mechanic apprenticeship, with get to inhale the company culture and managing these training programs. possible expansion to other professions gain first-hand experience on all facets of what it means to run a GACC Midwest is supported by a CICESS – Central Illinois Center of Excellence for Secure Software business, while at the same time two-year grant from the Joyce getting a broad theoretical education. Foundation in its efforts to expand • New initiative launching in 2015. German-style dual training for secure the German dual education model of software development in Peoria, IL | Com- Some of these programs include workforce development in the panies include AIS, Dell, Illinois Mutual benefits such as hourly wages, Midwest. The Joyce Foundation Insurance college tuition fee to be paid by the encourages innovative and collabora- For more information, please contact companies completely, or an employ- tive regional approaches with the Mario Kratsch, Director, Skills Initiative ment guarantee of up to 2 years after potential for a national reach. With Tel: +1 (312) 494 2171 successful completion of the training the grant, GACC Midwest hired a >> [email protected] - leaving the trainees debt-free at the full-time specialist to supplement >> www.gaccmidwest.org/skills start of their professional career and ongoing efforts.

German American Trade Jan/Feb/Mar 2015 37 GTAI INDUSTRY TALK

3D Printing Market with Great Growth Potential in the U.S. By Christian Janetzke, Germany Trade and Invest Translation from German by Sandy Jones, GACC

uring 3D printing (so-called addi- for the company in view of proto- fashion when it comes to manufactur- Dtive manufacturing), liquid or types as well as applications for niche ing. The aircraft manufacturer Boeing solid materials are layered in such a products passing through numerous places a strong emphasis on the new way as to make a threedimensional development phases. technology. In the widebody aircraft structure, predetermined via a "Dreamliner 787" for example, 30 computer. Market experts assume that For the medium term, analysts see parts are integrated that were demand on a value basis for 3D great potential in the manufacture of manufactured using 3D printing printers (including materials and parts. Until now, 3D printers have technology. These parts are mostly air software) has exceeded the US$1 only been implemented in low ducts and hinges. billion threshold in the U.S. in 2013. numbers for the manufacture of Mainstream analysts expect signifi- high-end individual parts or for One of the worldwide largest aircraft cant growth in the double digits in components that have a complicated engine suppliers has ambitious plans the next couple of years. structure. The market launch of more for the aviation industry. GE Aviation, efficient printers that can process a subsidiary of General Electric, has From 2014 until 2019, the market metals and stronger plastics will open announced to invest some US$ 3.5 researcher IBIS World predicts an the door to industrial manufacturing billion into additive manufacturing average growth rate of 15.7% with an for the technology, says Jeff Raquet, until 2018. By 2020, the company increase to US$3 billion regarding director of a 3D program at the plans to produce approx. 100,000 renevue of 3D printer suppliers on the University of North Carolina. parts using the new technology. In the U.S. market. The high expectations future, GE Aviation wants to imple- are also tied to an increased usage of Compared to classic machining, the ment as standard into its new "LEAP" the technology in the industry sector. technology offers potential to realize engines 19 fuel nozzles that were Additive manufacturing makes a drastic reduction in the use of raw manufactured using 3D printing delicate structures possible that materials. Due to ever-increasing technology. For their commercial cannot be realized by applying processing of cost-intensive materials production, the company expanded its traditional manufacturing methods (composites made of carbon, fiber plant in Auburn, Alabama, for some such as milling, turning and drilling. glass as well as metal ceramics), this US$50 million. is a decisive argument not least in the Great Potential aviation industry. Another important Progress in Eliminating for Industrial Enterprises aspect in the automotive as well as Market Obstacles In the industry, the technology is aviation sector is the weight of the Numerous obstacles are however still mostly used for the manufacture of parts that can be manufactured by to be overcome before 3D printing prototypes for testing purposes in the means of additive manufacturing, can revolutionize industrial produc- aviation and automotive sectors. which is lower compared to that of tion. For mass production, the speed According to Ford, the manufacture conventional products. Both sectors of the 3D printers that are currently of a prototype for an intake manifold focus more and more on lightweight available is not sufficient, say market using the traditional method will take construction. experts. One of the biggest problems four months and will cost for a commercial breakthrough are US$500,000. For the same result, Aviation Industry the high costs of equipment and while applying 3D printing technol- Places Emphasis on material, reports Terry Wholers, ogy, four days and about US$3,000 3D Printing Technology President of Wholers Associates, Inc., are needed. According to a statement In the aviation industry, the technol- a specialized market research and by the carmaker, 3D printing is ideal ogy is gaining interest in a rapid consulting firm. The prices of

38 German American Trade Jan/Feb/Mar 2015 GTAI INDUSTRY TALK

GTAI INDUSTRY TALK

Detailed industry reports, written by the U.S. correspondents of German Trade and Invest (GTAI), the official German foreign trade and inward investment agency. equipment for industrial usage are Defense. GE Aviation also drives mostly between US$150,000 and development with intense research. In US$500,000. Material costs of mid-2013, the company established a products of additive manufacturing state-of-the-art rapid prototyping systems for the aviation industry are center for additive manufacturing in about 50 to 100 times the costs of Louisville, Kentucky. About the Author those used in traditional manufactur- Christian Janetzke ing processes, according to Wholers. The fact that the technology also Director, Germany Trade and Invest gaines interest in the industry sector 75 Broad Street, 21st Floor However, signs bode well for the outside the automotive and aviation New York, NY 10004 medium-term reduction of market industry gives market observers hope. T 212-584-9717 obstacles. In October 2014, the In the area of consumer electronics, >> [email protected] announcement of Hewlett-Packard, 3D printing is entering parts produc- >> www.gtai.de the California IT giant, caused quite tion (amongst others for circuit the stir in the sector. The company boards). Motorola Mobility signed a still a number of issues in the area of plans to conquer the market in 2016 development agreement spanning bioprinting. with a 3D printer for the industry several years with 3D Systems Corp. sector. Wholers explains that this in November 2013. The latter will While research is still in its infant printer is substantially faster than any support Motorola with its technology stages when it comes to the printing other product currently available on to realize modular smartphones with of cells, dental technology is hard to the market. Competition between interchangable components. 3D imagine these days without the suppliers is thus likely to drastically Systems Corp. is to exclusively technology. Dental laboratories use increase and prices will decrease. manufacture many of the required 3D printers to produce crowns, Wholers anticipates a substantial components of the individually bridges and plaster models in a surge in growth for the broader combinable smartphones applying 3D speedy and accurate fashion. There is application of the technology. printing technology. This also applies also increasing use of the technology to parts such as frames and covers. for the production of hearing aids, Government incentives for the further contact lenses and prostheses. development of the technology are Medical Sector with likely to provide addtional impulses. High Demand In the consumer market, mostly A number of times, President Obama Outside of the industry sector, 3D vendors of toys and jewelry as well as explained the great importance of the printing also enjoys increasing the design sector are driving demand technology for increasing the popularity. The medical sector is the to manufacture prototypes for their competitiveness of the U.S. industry. most important customer. Initial products. Drastically falling prices Numerous research projects have been prototypes with which organs and regarding 3D printers for home use initiated. For example, Youngstown skin may be produced have already could make for a drastically increas- State University opened an innova- been developed. Under the heading ing market penetration for private tion center for additive manufacturing "bioprinting" a high dynamic is households in the medium term, (America Makes – National Additive noticeable in research and develop- according to IBIS World. A growing Manufacturing Innovation Institute). ment. Scientists at Cornell University number of vendors is focusing on The public-private partnership project in New York were for example able to serving the needs of do-it-yourselfers. was subsidized with some US$30 produce a human ear using 3D Some products can be purchased for million by the U.S. Department of printing technology. However, there is under US$1,000.

German American Trade Jan/Feb/Mar 2015 39 WASHINGTON UPDATE

New Year, New Trade Agenda A Look at the U.S. Trade Agenda for 2015

significant hope for worldwide Trade Promotion Authority With the successful completion of the Agrowth in 2015 lies in the Trade Promotion Authority bills - also Transpacific Partnership (TPP) successful negotiations of several known as Fast Track - have a lifespan of looming, 2014 did see progress ongoing free trade agreements. In roughly four years, and outline congres- towards a TPA bill with the January addition to the tremendous sional objectives and rules for the introduction of the Bipartisan potential of the Transatlantic Trade Administration to follow while negotiat- Congressional Trade Priorities Act of and Investment Partnership (TTIP), ing free trade agreements. They can also 2014 in the House and Senate. With the United States is also engaged in list priorities for the content of a trade generally trade-friendly Republicans bilateral and multilateral trade deal, including labor and environmental motivated to clear the agenda to make negotiations, some of which are provisions, as well as address issues room for new priorities once they slated to draw to a close this year. such as intellectual property rights assume a majority in both the House However, in order for these protection. Importantly, TPA guarantees and Senate in 2015, the chances look agreements to be approved by that a completed negotiation text will be positive for a TPA bill. Nevertheless, Congress and to enter into force, subject to an up or down vote in shortly after midterm elections the the Administration still needs to be Congress, without the possibility for tension built up once again between granted Trade Promotion Authority amendment. U.S. negotiating partners President Obama and Republicans (TPA) by Congress – an issue which have viewed the absence of TPA for the after Obama’s announcement that he remained relevant throughout 2014 Obama Administration as a liability, and would take executive action to update and will receive significant can be hesitant to make bold offers immigration and deportation proce- attention in early 2015. during negotiations knowing that dures. The President and Democrats amendments from Congress could send have pushed that this action should everyone back to the negotiating table. not be cause to halt bipartisan cooperation on unrelated topics.

2015 Trade Priorities for the United States While by no means a comprehensive list, the following section outlines the U.S. trade initiatives that we ought to keep an eye on this year.

Transpacific Partnership (TPP): U.S. negotiators put a tremendous amount of effort into what the Office of the U.S. Trade Representative refers to as the “end game” of the Transpacific

40 German American Trade Jan/Feb/Mar 2015 WASHINGTON UPDATE

About the Authors

Partnership (TPP) negotiations in 2014 stock of the negotiations and to and this sustained effort is likely to discuss next steps. The next round of continue in the early months of this TTIP is slated to take place in early year. TPP is an ambitious agreement February in Brussels, Belgium. that the United States is negotiating with 11 other countries throughout WTO Trade Facilitation Agreement: the Asia-Pacific region (Australia, In December 2013, WTO members Brunei Darussalam, Canada, Chile, concluded negotiations on a Trade Japan, Malaysia, Mexico, New Facilitation Agreement (TFA) at Zealand, Peru, Singapore, and the Bali Ministerial Conference, as Elizabeth Livengood, Director Trade Vietnam) and consists of 793 million part of what has come to be known Policy at the Representative of Ger- consumers with a combined GDP of as the “Bali Package”. 2014 saw a man Industry and Trade (RGIT). $28.1 trillion. Following meetings in legal review of the package by >> [email protected] Beijing at the end of last year, neither member countries; however, the >> www.rgit-usa.com TPP leaders nor ministers identified a TFA and other parts of the Bali new target for concluding the TPP; Package were called in to question in however, several TPP ministers have July of 2014, when a small group of publicly suggested that the agreement WTO Members blocked adoption of could be concluded in the first six the Protocol of Amendment for the months of this year. TFA. The United States worked with India in late 2014 to break this Transatlantic Trade and Investment impasse, and the General Council Partnership (TTIP): Alongside TPP, the endorsed the approach agreed upon Office of the U.S. Trade Representa- by the United States and India last tive has made the successful comple- November. Among these compro- tion of an ambitious and comprehen- mises was a decision to extend the sive TTIP a top priority. TTIP, which deadline for developing a work was formally launched in June of program covering all remaining 2013 between the European Union issues in the Doha Round of negotia- Elizabeth Johnson, and the United States, aims to boost tions until July 2015. Economic Policy Analyst economic growth in the United States >> [email protected] and the EU and add to the more than Trade in Services Agreement (TiSA): >> www.rgit-usa.com 13 million American and EU jobs The Trade in Services Agreement was already supported by transatlantic formally launched in 2013 and is tion and delivery services. Services trade and investment. While there focused exclusively on service account for three-quarters of U.S. hasn’t been a formal round of industries. Drawing on best practices GDP and 4 out of 5 jobs in the negotiations since the new Trade from around the world, TiSA will United States. Twenty-three econo- Commissioner Cecilia Malmström’s encompass state-of-the-art trade rules mies – including the European Union appointment, she met with U.S. Trade aimed at promoting fair and open and EFTA countries - are presently Representative Michael Froman on trade across the full spectrum of participating in TiSA, representing 75 two occasions late last year in both service sectors – from telecommuni- percent of the world’s $44 trillion Brussels and Washington to take cations and technology to distribu- services market.

German American Trade Jan/Feb/Mar 2015 41 MEMBER PROFILE

The U.S. and EU are Still on Top But What Lies Ahead as They Turn 250 and 30? By Daniel Mahler, A.T. Kearney

he United States and European been lower—at only 2.2% of poten- must be addressed, including rising TUnion have long been the tial GDP—the EU economy was only anti-EU sentiment, security threats world’s two largest economies (at forecast to exceed its pre-crisis peak on its borders, and looming demo- market exchange rates), and will of real GDP in 2014, whereas the graphic concerns as its population remain in the top two spots for the U.S. economy surpassed its pre- ages. But the largest challenge for foreseeable future. Despite being crisis peak in 2011. the EU economy is faltering eco- home to only about 12% of the nomic competitiveness. Neverthe- world’s population, the two econo- Both economies are approaching less, reasons for optimism remain. mies combined account for about important milestones in the next At the national level, Germany 25% of global trade, almost half of decade: in 2023, the EU will turn 30 remains a global leader in producing all outward FDI flows, and about and, in 2026, the United States will industrial products, including 70% of the market value of the FT celebrate its 250th birthday. As we automobiles and chemicals, while Global 500. anticipate these milestones, it is countries such as Poland have the worth asking where the EU and the potential to play a greater leadership However, the world’s two largest United States will be in terms of role in the bloc. Spain, which was economies have performed below their economic performance and hit hard by the sovereign debt crisis, their potential in the years since the global competitiveness. is showing signs of economic global financial crisis. IMF estimates recovery following the implementa- show the annual output gap for the Europe is tentatively emerging from tion of difficult reforms. More U.S. economy has averaged about its protracted debt crisis, but still broadly, Europe is home to the 4.7% of potential GDP since 2009. must contend with wide-ranging world’s most educated labor force—a While the average annual output economic, political, and social valuable resource which has been gap for EU member economies has uncertainty. Significant challenges underutilized due to high unemploy-

42 German American Trade Jan/Feb/Mar 2015 MEMBER PROFILE

Despite being home to only about 12% of the world’s population, the United States and European Union economies combined account for about 25% of global trade. ment rates. Bold political leadership have been paid off. Finally, the top market for EU exports, and the on necessary reforms—particularly shale energy revolution has played a EU is the second-largest market for to improve labor market flexibility, central role in jump-starting the U.S. exports. In addition, the United promote innovation, and strengthen economic recovery, with positive States and the EU represent each EU institutions—will be required for ramifications experienced through- other’s largest source and destina- the continent to maximize the EU’s out the economy by reducing the tion for FDI. If leaders of both potential in 2023. cost of domestic energy and thus economies are able to agree on the improving the competitiveness of Transatlantic Trade and Investment The U.S. economy, on the other U.S. firms. The United States faces Partnership (TTIP) deal in the hand, shows signs it has already medium-term challenges in sustain- coming years, their economies will turned the corner. Economic ing its newfound economic growth become even more tightly inter- performance in 2014 was the through 2026 and beyond—namely, twined. As a result, as America strongest it has been in years, and declining workforce participation as approaches its 250th birthday and the outlook remains positive. Private Baby Boomers retire and the the EU approaches its 30th birthday, sector activity is strengthening as corresponding rise in government their economies will likely thrive or companies increase their level of expenditures on social security and fail together. fixed investment and begin to other social programs for the employ more workers. Consumer elderly. Contact: demand is rising as a result of both 7 Times Square stronger employment numbers and But this is not an either-or proposi- New York, NY 10021 the steady repair of household tion. The economies of the EU and (212) 350-3292 balance sheets as debts accumulated the United States are inextricably >> www.atkearney.com >> [email protected] prior to the global financial crisis connected: the United States is the

Dr. Daniel Mahler Daniel is Partner & Head of Americas retail industry. He is the Firm´s lead senior for A.T. Kearney. He is also a Member advisor to several large global U.S. based of the Firm’s Senior Leadership Team. corporations with revenues of up to $80B. After starting his career at the German American Chamber of Commerce in Daniel has published frequently and is a New York he joined A.T. Kearney 14 speaker in the areas of Procurement, Sus- year ago in New York. His career in A.T. tainability, Corporate Risk and Volatility Kearney included working out of the Management. Berlin and Zurich offices, where he led Daniel was named to Consulting Maga- the Firm’s operations in Switzerland zine’s Top 25 Consultants list in 2008. before he was appointed to lead the Americas region for the Firm effective He has been a member of the Supervisory January 2013. Board of Eisenmann AG, Böblingen and member of the Board of Trustees of the He has led half a dozen major global Opera Foundation, New York transformations and merger integra- tion programs for multinationals in the He has studied in Hannover, Germany and automotive, utility and consumer & holds a MA and PhD in Communications.

German American Trade Jan/Feb/Mar 2015 43 WHAT'S ON YOUR DESK?

What Do You like Best government is especially interested Kevin Heidenreich about your Job? in the dual type of vocational Deputy Representative of Washington, D.C., is a great city training we use in Germany. We German Industry and Trade if you love politics. I have the have had a lot of great events chance to meet a lot of interesting about skills in the past and I like to people in places with a lot of do my bit helping to improve the history. It is an honor to represent U.S. education system and giving German businesses here and I advice based on our experiences take pride in explaining the back in Germany. importance of German investment in the United States and that we Upcoming Project? employ over 600,000 people in This year will be crucial for the U.S. Who doesn’t like to talk a successful conclusion of about success stories? the Transatlantic Trade and Investment Partnership (TTIP). Most Inspiring Projects? There will be a lot of discussion on From: Friesland, Germany Like most Germans I am very the hill and that means a lot of Interests: Travel, music and soccer proud of our vocational training work for us. That said, it is a Past Career: Director Higher Education system. That’s why I try to explain privilege to work on a trade Policy, Association of German Chambers the basic principles to everyone agreement that is bringing the two of Commerce and Industry (DIHK) who can’t run away fast enough. biggest economies in the world Contact: Tel: (202) 659-4777 Skills development and youth closer together. That project has >> [email protected] unemployment are serious topics all the requirements to have a >> www.rgit-usa.com in D.C. at the moment and the place in history books.

Welcome, New Members!

ADP Convensis GmbH Interpretation Service Stanton Chase International www.ADP.com www.convensis.com www.kathistocktranslations.com www.stantonchase.com Arnold Group USA Inc. Cresa Atlanta Kresta Industries Inc. Stöcklin Logistics Ltd. www.cresa.com www.kresta-industries.com Automotive Management www.stoecklin.com Partners, Inc. D2 Law Group PL Krombacher USA LLC www.automotivemanagementpartners. www.d2lawgroup.com www.krombacher.com taskforce-Management on com Demand Inc. D4C Lancaster County Economic www.taskforce.net AviComp Controls GmbH Delphi Organic GmbH Development Corperation www.avicomp.com www.delphiorganic.com www.LancasterSCWorks.com Transatlanticpass Consulting & Baumot North America LLC DLA Piper UK LLP MINE Inc. Sales Agency LLC www.baumot.ch www.dlapiper.com www.mine.com www.transatlanticpass.com Bekaworld LP East Kentucky Power Co-op. ML Lubrication USA, Inc. www.beka-lube.de University of the Incarnate www.ekpc.coop www.ml-lubrication.com World (UIW) BLG Logistics, Inc. Eisenbeiss Inc. Munich Reinsurance America www.blg.de/en/home/ www.uiw.edu www.eisenbeiss.us Inc. Boysen USA, LLC Upstate SC Alliance Erhardt + Leimer, Inc. www.munichreamerica.com www.boysen-online.de www.upstatealliance.com www.erhardt-leimer-us.com OPS Rules. BPI group US Euler Hermes www.opsrules.com VECTOR TUB GmbH www.bpi-group.us www.eulerhermes.us Partners for Architecture, Inc. www.vectortub.com Bread Alone Bakery Foxfire International (CPA) www.pfarch.net www.breadalone.com Vitronic Machine Vision LTD GEL Engineering, LLC Pinar Foods GmbH www.vitronic.com Bullaro & Carton, P.C. www.gel.com www.pinar.de www.bullarocarton.com Vonk Translation Genesys Partners, Inc. PricewaterhouseCoopers LLP Business Intermediary Services, www.vonktranslation.com www.genesyspartners.com www.Pwc.com Ltd. Vorne Industries www.businessintermediary.com Gustav Käser Training Reich LLC www.reich-llc.com www.vorne.com BZ Robot Inc. International www.bz-intelligentrobot.com www.gustavkaeser.com Rocklin Manufacturing Co. Weinbau Dr. Lippold www.rocklinmanufacturing.com Carl Zeiss Meditec, Inc. IIG Industrieisolierungen GmbH www.drlippold.com www.iig-grp.com www.meditec.zeiss.com Roechling Automotive USA LLP Wendt SIT North America Corp. Jana Woodruff, Realty South www.roechling.com CenterState Corporation for www.wendt-sit.com Economic Opportunity www.janawoodruff.com RSR Partners www.centerstateceo.com JKJ & H International www.rsrpartners.com White and Williams www.whiteandwilliams.com Christian Schmidt www.jkj-h.com Schnellecke Logistics USA, LLC www.immigrationattorneyforsanfrancisco.com JLL www.schnellecke.com Womble Carlyle Sandridge & CHV Group LLC www.jll.com Sitola Corp. Rice, LLP www.chvgroup.com Kathi Stock Translation and www.sitola.com www.wcsr.com

44 German American Trade Jan/Feb/Mar 2015 Event Calendar January 9 January 15 January 15 New Year's Reception New Year's Reception & German American Business January 1 – March 31 - Charlotte Luncheon Outlook - West Coast

Held by GACC South Held by GACC NY Held by GACC West Charlotte, NC New York, NY San Francisco, CA www.gaccsouth.com www.gaccny.com www.gaccwest.com

January 20 January 20 January 21 January 22 New Year's Reception - New Year's Reception - European Business Business Seminar: German Houston Office Tennessee Chapter Networking American Business Outlook for the South

Held by GACC South Held by GACC South Held by GACC Midwest Held by GACC South Houston, TX Chattanooga, TN Chicago, IL Atlanta, GA www.gaccsouth.com www.gaccsouth.com www.gaccmidwest.org www.gaccsouth.com

January 22 January 22 January 22 January 26 January 27 German Business Member Appreciation EACC Finance Forum 5th Women's Series: New Year's Reception - Roundtable Event Professional Etiquette Atlanta

Held by GACC South Held by GACC PHL Held by GACC NY Held by GACC South Held by GACC South Houston, TX Philadelphia, PA New York, NY Atlanta, GA Atlanta, GA www.gaccsouth.com www.gaccphiladelphia.com www.gaccny.com www.gaccsouth.com www.gaccsouth.com

January 28 January 29 January 29 February 5 Austrian German Swiss German American Business Annual Economic Forum Seminar on Global Women-in-Business Stammtisch Business Policy Forum NYC

Held by GACC NY Held by GACC South Held by GACC Midwest Held by GACC NY New York, NY Houston, TX Chicago, IL New York, NY www.gaccny.com www.gaccsouth.com www.gaccmidwest.org www.gaccny.com

February 5 February 10 February 10 February 11 February 17 MI Chapter: 2015 Winter Business Seminar with German Business German Business German American Business Networking Event Arnall Golden Gregory LLP Roundtable Roundtable Stammtisch

Held by GACC Midwest, MI Chapter Held by GACC South Held by GACC South Held by GACC South Held by GACC South Chicago, IL Atlanta, GA Houston, TX San Antonio, TX Chattanooga, TN www.gaccmi.org www.gaccsouth.com www.gaccsouth.com www.gaccsouth.com www.gaccsouth.com

February 19 February 23 February 25 March 5 Hax'n Essen Meet us at WWETT Seminar "The Affordable Art as an Investment Care Act" in cooperation with RH Gallery, Phillips and Artnet

Held by GACC PHL Held by GACC Midwest Held by GACC NY Held by GACC NY Philadelphia, PA Indianapolis, IN New York, NY New York, NY www.gaccphiladelphia.com www.gaccmidwest.org www.gaccny.com www.gaccny.com

March 12 March 17 March 24 March TBA March TBA EACC Women's Forum German American Business German Accelerator NY Women in International European Roadshow Stammtisch Networking Event with Global Philly

Held by GACC NY Held by GACC South Held by GACC NY Held by GACC PHL Held by GACC PHL New York, NY Chattanooga, TN New York, NY Philadelphia, PA Philadelphia, PA www.gaccny.com www.gaccsouth.com www.gaccny.com www.gaccphiladelphia.com www.gaccphiladelphia.com

German American Trade Jan/Feb/Mar 2015 45 German American Trade is published quarterly by the German American Chamber of Commerce Inc., 80 Pine Street, 24th Floor, New York, NY 10005. Reproduction in whole or in part of any article is prohibited without permission. Unsolicited manuscripts cannot be returned unless accompanied by a properly addressed envelope bearing sufficient postage. Editor reserves the right QUARTERLY to edit letters to be reprinted. Editor and publisher cannot accept any liability for the accuracy or THE MAGAZINE OF THE GERMAN AMERICAN CHAMBERS OF COMMERCE completeness of any material published. Contributed articles do not necessarily reflect the Chamber’s position. If you have any comments regarding Atlanta New York articles in this magazine, please call 212-956-1770. Periodical postage paid at New York, NY and German American Chamber German American Chamber additional mailing offices: USPS number 025-026 of Commerce of the Southern of Commerce, Inc. One Year Subscription: US$ 30 (Euro 48) One United States, Inc. 80 Pine Street, 24th Floor subscription is included in annual membership dues. 1170 Howell Mill Road, Suite 300 New York, NY 10005 Single copy: US$ 7.50 (Euro 8) Atlanta, GA 30318 T 212-974-8830 F 212-974-8867 T 404-586-6800 F 404-586-6820 [email protected] U.S. postmaster send address changes to: German American Trade, 80 Pine Street, [email protected] www.gaccny.com 24th Floor, New York, NY 10005. www.gaccsouth.com Office of publication: New York Publication date of this issue: 1st Quarter 2015 Chicago Philadelphia © Copyright 2015 German American Trade German American Chamber German American Chamber of Commerce of the Midwest, Inc. of Commerce, Inc. 321 North Clark, Suite 1425 200 South Broad Street, Suite 910 Design and Production Chicago, IL 60654 Philadelphia, PA 19102 Thinkersdesign T 312-644-2662 F 312-644-0738 T 215-665-1585 F 215-665-0375 328 Commerce Street [email protected] [email protected] Hawthorne, NY 10532 www.gaccmidwest.org www.gaccphiladelphia.com T 914-741-0445 F 206-203-3640 [email protected] www.thinkersdesign.com Detroit San Francisco German American Chamber German American Chamber of Commerce of the Midwest, Inc. of Commerce, Inc. Office for the GAT Editorial Team One Woodward Avenue, Suite 1900 Western United States Nicola Michels GACC NY PO Box 33840 One Embarcadero Center Editor & Advertising Coordinator Detroit, Michigan 48232 Suite 1060 T 212-956-1770 F 212-974-8867 T 313-596-0399 San Francisco, CA 94111 [email protected] [email protected] T 415-248-1240 F 415-627-9169 Jan Vater GACC NY www.gaccmidwest.org [email protected] Editor www.gaccwest.com [email protected] Stefanie Jehlitschka GACC South Houston Washington, DC [email protected] German American Chamber Representative of German Industry Sandra Jones GACC NY of Commerce of the Southern and Trade [email protected] United States, Inc. 1776 I Street NW, Suite 1000 Manuel Muhl GACC South Houston Office Washington DC 20006 [email protected] 1900 West Loop South, Suite 1185 T 202-659-4777 F 202-659-4779 Houston, TX 77027 [email protected] Julia Prestel GACC West T 832-384-1200 F 713-715-6599 www.rgit-usa.com [email protected] [email protected] Jayne Riemer-Chishty GACC Midwest www.gacctexas.com [email protected] Lydia Sarson GACC NY Philadelphia Branch [email protected] Jasmin Welter GACC Midwest [email protected]

46 German American Trade Jan/Feb/Mar 2015 Volkswagen Group of America with its five brands Audi, Bentley, Bugatti, Lamborghini and Volkswagen is a strong partner of the German American Chamber of Commerce.

Volkswagen Group is continuing its commitment to the U.S. market with an additional $7 Billion investment in North America over the next five years.

Building on the success of its manufacturing facility in Chattanooga, TN – where a recent study shows that VW Chattanooga activities have created 12,400 full-time jobs at VW, suppliers and in the regional economy, and are responsible for $643.1 million in annual income – the Volkswagen Group will expand its powertrain and vehicle assembly capacities in the NAFTA region.

volkswagengroupamerica.com Traveler? Passenger? Guest.

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