VW truck boss urges Germany to resolve political deadlock

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[December 01, 2017]   MUNICH (Reuters) - The head of Volkswagen's <VOWG_p.DE> truck operations on Friday criticized Germany's prolonged political deadlock as a risk to its commercial vehicle industry and the country's international reputation.

Ten weeks after the Sept. 24 federal elections, Germany still lacks a new government and Chancellor Angela Merkel is casting around for a coalition partner.

A German government should be ready to tackle future challenges "in a creative, bold and forceful way, instead of merely administering our country for months in a caretaking way," VW Truck & Bus Chief Executive Andreas Renschler told a truck industry conference.

"Germany can afford many things, but not an unstable government," said Renschler, who sits on VW's top management board. "We have a problem in Germany if we persist in that (instability). Our role in Europe but also in the world forbids that."

Truck makers such as VW, Daimler <DAIGn.DE> and Volvo <VOLVb.ST> are being forced to transform as smart logistics, autonomous driving and electric vehicles become more important for fleet operators. They must also contend with tightening emissions and safety regulations.

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Andreas Renschler, member of the Board of Management of Volkswagen AG with responsibility for 'Commercial Vehicles' attends Volkswagen AG annual news conference in Wolfsburg, Germany, April 28, 2016. REUTERS/Fabrizio Bensch

Digital tools to improve traffic management require "bold and forward-looking" legal terms set by politicians and regulators, said Renschler, citing so-called "platooning" technology which allows digitally connected heavy trucks to save fuel by driving closely together.

"That's why it is all the more important that we will get a stable government in Germany as fast as possible that sets the appropriate impulses for innovation and investment," said Renschler, a former head of Daimler Trucks.

"Our appeal can only be to end the political deadlock as quickly as possible."

(Reporting by Andreas Cremer; editing by Jason Neely)

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