Germany is no longer the land of automobiles. Or more precisely - it still is, but it's rapidly becoming the land of cannons. The longest economic stagnation since World War II is pushing Europe's largest economy toward an industry it long kept at arm's length: weapons manufacturing.

The numbers are merciless. Mercedes-Benz recorded a 49% profit drop in 2025. Volkswagen: minus 44% and an announcement to cut 50,000 jobs by 2030. Porsche: operating profit down 98%. Around 15,000 manufacturing jobs are disappearing every month. The model of we export cars, we import prosperity no longer works.

Car factories are becoming weapons factories

The government is systematically transforming industrial capacity into defense centers. Schaeffler aims for 10% of its 24-billion-euro revenue to come from military industry. Deutz is producing engines for unmanned systems and armored vehicles. Volkswagen is negotiating with Israeli firms to produce Iron Dome components by 2027. Patriot interceptor production, until now exclusively American, will soon take place in Germany.

Nearly 90% of European venture capital invested in military technology flows to German companies. With nearly 1 trillion euros earmarked for European defense and diminished American security guarantees, Germany is positioning itself as the backbone of continental military industry. A country that for seven decades didn't want to even talk about weapons is now actively converting its car factories into military plants. History has a strange sense of humor.