(Yicai) Sept. 7 -- Global car marques, including Audi, BMW, and BYD, showcase their latest models at Germany's IAA Mobility 2023 with a focus on software and electrification.

The IAA Mobility indicates the pressure of international competition and the need for Germany to invest more in electrification, Hildegard Müller, president of the German Association of the Automotive Industry, said to Yicai during the largest auto show in Europe that kicked off on Sept. 5 and will continue till Sept. 10. However, auto shows in Shanghai and Beijing are larger this year in terms of exhibition area, as well as the number of exhibitors and visitors.

On the first day of the event, several German car brands brought their new models to the city center of Munich and set up digital experience centers for customers to take a test drive.

The design philosophy for new cars has shifted to an inside-out mindset, an Audi executive said to Yicai. The next three models of Audi Q6e Tron, the brand's first product based on the Premium Platform Electric, will feature similar interior design.

Software will be Volkswagen's prominent strength in future development, and the company should give full play to joint venture partners, Oliver Blume, chief executive of the Wolfsburg-based firm, told Yicai. By working with Chinese companies, Volkswagen can cut the cost of battery manufacturing by half.

CES, China Auto Shows Get Bigger

Carmakers have been more inclined to attend the Consumer Electronics Show in North America in recent years as it represents more innovative technologies, a source close to a German auto manufacturer told Yicai. As a result, only a few visitors buy tickets to watch the auto show in Munich, and carmakers are reluctant to invest a lot of resources in the event, making it mostly useful for suppliers seeking business opportunities.

However, this year, the number of Chinese exhibitors has doubled from last time. Some of them include brands such as BYD, Seres, Leapmotor, and Xpeng, but the group also has parts suppliers such as Contemporary Amperex Technology, Horizon Robotics, and Qcraft. Shenzhen-based electric vehicle giant BYD booked a 915-square-meter exhibition area, reflecting its success in Europe.

Some of highlights are new products. BMW unveiled the BMW Vision Neue Klasse and a new Mini Cooper, showcasing concepts for the next generation of models. Volkswagen held the Volkswagen Group Night to display its latest models such as the Q6 E-tron and the ID. GTI Concept.

BMW Vision Neue Klasse is based on electric architecture and a new design language, the firm said. BMW welcomes partnerships but will not directly use platforms developed by other companies to produce Mini or BMW vehicles, per Chairman Oliver Zipse.

Moreover, for the first time, Mercedes-Benz revealed the Concept CLA-Class built on the Modular Architecture platform and equipped with an in-house operating system called MB.OS.

Editor: Emmi Laine