german american - AHK USA
Transcription
german american - AHK USA
57974_GACC_ACG 4/18/07 10:48 AM Page 1 Volume 18 · Number 4 · May 2007 · $5.00 Magazine of the German American Chamber of Commerce GERMAN AMERICAN Interview with Ernst Lieb, new President & CEO of Mercedes-Benz USA: “From Spare Parts Dealer to Global Player” GACC • 75 Broad St • NY, NY 10004 • USA PRSRT STD US POSTAGE PAID CLEVELAND,OHIO PERMIT #1890 Minimizing Litigation Trauma in the US Honorary Consul: Norma Brenne Henning Siemens presenting a New Presenting a New Image of Image Trains of Trains Why the Transatlantic Relationship Matters Solar Conference & Business Delegation 57974_GACC_ACG 4/18/07 10:48 AM Page 2 57974_GACC_ACG 4/18/07 10:48 AM Page 3 Viewpoint GACC: Always At Your Service Simone Pohl President & CEO German American Chamber of Commerce of the Midwest, Inc. I n light of the new transatlantic economic partnership the significant role of the German American Chamber of Commerce (GACC) network becomes more and more evident. This can be seen in the transatlantic discussion in the clean energy sector, where the GACCs are on the forefront of organizing conferences and business to business meetings on topics such as solar power and bioenergy. With more than 2000 members in the US and Germany, representatives from all types of industries, organizations, small to medium sized companies and many of the largest German firms call themselves GACC members and enjoy the benefits we offer. As an integral part of the German chamber network abroad (AHKs) with over 120 offices in 80 countries and 81 Chambers of Commerce (IHKs) in Germany, the German American Chambers of Commerce are excellently positioned and connected worldwide. We have German American Trade · Vol. 18 · No. 4 many contacts and relationships to industry associations and local organizations, and are an integral part of the German foreign trade and investment promotion community in the US with partner organizations such as the bfai German Office for Foreign Trade and Invest in Germany. The bilateral German Chambers abroad are membership organizations, which also combine the functions of a trade commission and a professional service provider, making us a “one stop-shop.” With the implementation of the new marketing brand DEinternational, the chambers have become an even more capable partner for German companies with business development not only in the US but all over the world. Every year we advise hundreds of German and American companies on their individual market entry strategy. We find the right importer, distributor, joint venture, technology partner, or new bilingual employee through our service departments. Hundreds of events and projects in the US and Germany, which offer increased opportunities to exchange views with other members and meeting experts, are organized by our staff and our many volunteers in chapters and on boards, who give their time for the GACC network across the US. Strengthening and enhancing our services for our members remains one of our top priorities. We would like to remind you to take advantage of those benefits offered to you especially through our extensive network locally, regionally, in the US, Germany and worldwide and utilize the many services provided for you. If you are not yet a member, consider becoming one. If you are a member, we want to thank you for your loyalty and support. Together we form a strong network and are getting stronger. We can assure you that we are Always At Your Service. I 3 4/18/07 10:48 AM Page 4 Photos: Christian Heeb 57974_GACC_ACG # # # # # # # # ### ## ### # START YOUR ENGINES Journal. The German language magazine about travel, business and lifestyle in North America. Subscriptions at www.glpnews.com. For advertising call (212) 896-3881, Mr. Detlef Fox. 4/18/07 10:49 AM Page 5 Contents Features Regulars Cover Story 12 Beyond Battleaxes & Crossbows 3 Viewpoint – GACC: Always At Your Service 6 From Spare Parts Dealer to Global Player Minimizing Litigation Trauma in the US through Mediation 15 Honorary Consul: Norma Brenne Henning Part 3 of a 9-part series. 18 Presenting a New Image of Trains: Silent, Sleek, Sexy & Smooth Oliver Hauck, President & CEO of Siemens Transportation Systems discussed the future of rail in the US. In light of the new transatlantic economic partnership the significant role of the German American Chamber of Commerce (GACC) network becomes more and more evident. 28 Transatlantic Ticker German American Company News 29 Economic Indicators Ifo Business Climate Index Rises Again 30 Masthead Regions Ernst Lieb began his career with DaimlerChrysler as an apprentice in 1978 in the former Daimler-Benz organization. In 1985, he joined Mercedes-Benz Canada where he held various positions culminating in his promotion to President and CEO of Mercedes-Benz Canada in 1995. In April 2003 Ernst Lieb became President and CEO of DaimlerChrysler Australia/Pacific Pty. Ltd., before becoming President and CEO of Mercedes-Benz USA, Inc. in September of 2006. Contents Fox. 57974_GACC_ACG 20 Washington From Steuben to Schwarzkopf – 60 million Americans are of Germanspeaking ancestry Page 6: MBUSA was founded in New Jersey over 40 years ago to direct the national sales, service and parts networks needed to accommodate the rapidly growing number of Mercedes-Benz owners in the U.S. 22 Midwest Several honorable guests came to speak on the EU Presidency and transatlantic trade relations on March 12th at the MidAmerica Club in Chicago. 25 New York For the first time in the 60 year history of the German American Chamber of Commerce, three women were elected to the Board of Directors 26 San Fransisco Solar Conference & Solar Business Delegation German American Trade · Vol. 18 · No. 4 5 57974_GACC_ACG 4/18/07 10:49 AM Page 6 Cover Story “I have been with DaimlerChrysler for nearly 32 years. Before becoming President and CEO of Mercedes-Benz USA in September 2006, I headed up DaimlerChrysler Australia/Pacific, and before that, led Mercedes-Benz Canada for the last eight of my 18 years there. In 1978, I started out in the parts area of the company in Stuttgart and have worked in every area of the company except for Finance all over the globe.” 6 German American Trade · Vol. 18 · No. 4 57974_GACC_ACG 4/18/07 10:49 AM Page 7 Cover Story From Spare Parts Dealer to Global Player Interview with Ernst Lieb, President and CEO, Mercedes-Benz USA GAT: Tell us a bit about the history of MBUSA. I am thrilled to now have the privilege of leading Mercedes-Benz USA, as the U.S. has become the largest market in terms of sales for the company worldwide. MBUSA was founded in New Jersey over 40 years ago to direct the national sales, service and parts networks needed to accommodate the rapidly growing number of Mercedes-Benz owners in the U.S. Since then, it has evolved over the years from selling about 12,000 MercedesBenz vehicles in 1965 to nearly a quarter-million vehicles, our all-time sales record in 2006, marking 13 consecutive years of sales growth. MBUSA was established in 1965. What few people realize is that the U.S. history of Mercedes-Benz began in 1888 when Gottlieb Daimler authorized American piano maker William Steinway to produce and market Daimler engines, light trucks and passenger cars in this country. Starting in 1901, Daimler’s cars became known German American Trade · Vol. 18 · No. 4 by the name Mercedes, and GAT: And what are your goals Steinway’s company actually and visions for MBUSA under built a model called the your leadership? American Mercedes in Long Our immediate focus is on Island City, New customer satisYork, from late faction and all As the inventor 1904 until Februthe work we are of the first ary 1907, when doing internally automobile, fire destroyed the and at the dealer factory. level points to our company has a heritage of innovation unlike any other. 7 57974_GACC_ACG 4/18/07 10:49 AM Page 8 Cover Story creating a more customercentric mindset. In my first 6 months with MBUSA, we have looked throughout all stakeholders – employees, dealers and customers themselves – to identify and address ways to improve efficiencies in order that 8 changes may ultimately impact customers in a positive way. When you come into a new job, you first have to take a look at what is “in here” where we operate from before you can look at what is “out there” in terms of customers or profitability or the market in general. With this in mind, we’ve started internally with our employees to identify areas that help us build our reputation as a desirable workplace so that we may continue to attract the best talent the industry has to offer. And we’ve recently met with our entire dealer network – 342 in total – at our National Dealer Business Forum for a two-way dialogue that set expectations on both sides of the table in an effort that our customers’ needs be addressed and exceeded even better than ever. Not least of all, through Customer Forums, I am in the process of meeting with customers nationwide this year, so by the end of the year I will have met hundreds of customers face-to-face to talk with them about their ownership experience. These discussions have been very insightful, both in shedding some light on areas we need to improve in and in revealing an unmatched passion and loyalty to the MercedesBenz brand beyond my imagination. German American Trade · Vol. 18 · No. 4 57974_GACC_ACG 4/18/07 10:49 AM Page 9 Cover Story Ernst Lieb, President & CEO, Mercedes-Benz USA Ernst Lieb began his career Mercedes-Benz Canada in with DaimlerChrysler as an 1995. Under his leadership, apprentice in 1978 in the sales of Mercedes-Benz former Daimler-Benz passenger cars in Canada more organization and became a than doubled. In April 2003 spare parts specialist the same Ernst Lieb became President year. In 1985, he joined and CEO of DaimlerChrysler Mercedes-Benz Canada where Australia/Pacific Pty. Ltd., he held various positions cul- before becoming President and minating in his promotion to CEO of Mercedes-Benz USA, President and CEO of Inc. in September of 2006. German American Trade · Vol. 18 · No. 4 GAT: What are some key products and services that MBUSA offers that differentiate you from the competition? First, there’s the product that differentiates MercedesBenz. As the inventor of the first automobile, our company has a heritage of innovation unlike any other. From pioneering the first roll-over crash test in the 1960’s to airbags in the 1980’s, and stability control in the 1990’s, we continue to introduce active and passive safety features such as today’s ProSafe which prepares the vehicle for an accident before it happens. Additionally, unlike our competitors, we offer our customers the most diverse portfolio of luxury vehicles to suit their varied lifestyle needs. From highly acclaimed sedans and fun-to-drive coupes and convertibles, to four different SUVs that meet a variety of needs without compromising on luxury, there’s a Mercedes to choose from. We also offer two super-luxury models that epitomize a lifestyle of aspiration: the Maybach and SLR McLaren, both of which are unparalleled. And customer service at Mercedes-Benz is an utmost priority – we are the only automaker with our own inhouse customer assistance 9 57974_GACC_ACG 4/18/07 10:50 AM Page 10 Cover Story center. Customers can always call, 24/7, with a product question, an accessories order or a request for Roadside Assistance. And that’s every Mercedes owner out there – whether they bought their Mercedes new or used, from a dealer or a previous owner – we’re there for them instead of a third-party. pen within the auto industry these days, but it is safe to say that we will continue to see dramatic change. The transitions we’ve seen over the last few years have made it a particularly challenging time, so we have been pleased that, despite it all, we have come out with continued sales growth year over year as we have achieved for the past 13 consecutive years. GAT: What changes do you foresee for the car manufacturing Since 1965, business in the next year or so? MBUSA has It’s a bit diffievolved from cult to predict selling about what may hap- GAT: What do you like to do when you’re not working? Having just moved here from Australia, where my two eldest children stayed for college, my preference is to spend free time there with them. Otherwise, my wife, youngest son and I are avid skiers and could be found on the slopes this past winter. I GAT: What keeps you up at night? Honestly, I am so busy working each day that I sleep quite well at night. 12,000 MercedesBenz vehicles to nearly a quartermillion vehicles each year. 10 German American Trade · Vol. 18 · No. 4 300 in 57974_GACC_ACG 4/18/07 10:50 AM Page 11 emirates.com/usa FULL PAGE AD Emirates Willkommen to Hamburg. Daily non-stop flights from JFK. Non-stop luxury with multi-course gourmet dining, complimentary fine wines and over 600 entertainment channels, in every seat. It’s great in any language. Fly Emirates. Keep discovering. 300 international awards and over 80 destinations worldwide. For more details contact Emirates at 800-777-3999. Discover frequent flyer benefits at www.skywards.com 57974_GACC_ACG 4/18/07 10:50 AM Page 12 Features Beyond Battleaxes & Crossbows Minimizing Litigation Trauma in the US through Mediation Written by Richard Lutringer, Esq. Schiff Hardin LLP in New York 12 German American Trade · Vol. 18 · No. 4 57974_GACC_ACG 4/18/07 10:50 AM Page 13 Features T he U.S. civil litigation system can be compared to medieval warfare. Imagine that two bordering countries had a dispute over water rights, but no methods existed to resolve the dispute other than battleaxes and crossbows. The “weapons” of litigation, like those of war, have the effect of unleashing powerful forces in the quest for a one-sided victory. Just as better ways of resolving disputes in the international arena have emerged over time, this article discusses how, in the realm of private civil disputes, the use of a mediator can minimize collateral damage while achieving positive results in record time. One of the most striking differences between litigation “weapons” in the United States and Germany is U.S.-style pretrial discovery, a combination of the Spanish Inquisition in a law firm conference room (“deposition”) and a wideranging review of the other party’s files (“document discovery”). It is not unusual for dozens, if not hundreds, of boxes of letters, internal reports, memos and drafts to be delivered to the other side for page-by-page review, hunting for the proverbial “smoking gun”. In the new area of electronic records, computer memories can be searched to find information on each party’s servers, pc’s and laptops. The time of executives preparing for and participating in depositions, or reviewing old email correspondence and boxes of paper prior to delivery to the other side means less time German American Trade · Vol. 18 · No. 4 to devote to their real jobs, not to mention the costs of experts and lawyers. Arbitration Although arbitration (the use of one or often three neutral parties to make a non-appealable binding decision) avoids formal court proceedings, including jury trials, and has the advantage of confidentiality, it generally does not reduce the costs and time involved and, of course, must be contractually agreed to in advance by all parties. Additionally, under standard AAA rules to which many U.S. arbitrations are subject, pre-hearing discovery is permitted. A recent survey of general counsel of major U.S. companies indicated that most saw no significant differences in the total cost or time required between arbitration and litigation. What is mediation? Mediation (“Streitschlichtung” in German), is a non-binding process to resolve disputes using a third party mediator who facilitates negotiation between the parties. The mediator, unlike a judge or arbitrator, has no authority to make a decision or impose a solution, but can only assist the parties in reaching agreement through his or her experience, negotiation skills and an understanding of the mediation process. The basic elements of mediation are a) a mediator as neutral third party, b) a dispute that has been reduced to specific issues, c) participation by the parties themselves (as opposed to merely lawyers), d) confidentiali- ty and e) speed. And by “speed” is meant lightning speed compared to arbitration or litigation. Resolving cases that have been pending for months or years in one or two days of mediation is not unusual. In some cases an agreement expressly provides that before either side may take a dispute to court or arbitration the parties must first attempt mediation to try to settle the issues. Mediations are usually started, however, after a litigation has been commenced when one of the parties (or the judge) requests that mediation takes place. It can also be used prior to litigation between unrelated parties or even within a partnership, a workplace or anywhere disputes and misunderstandings arise. Mediation minimizes the time and expense of litigation and arbitration. In many cases involving private parties, the use of a mediator not only reduces time and expense, but also permits a form of settlement that would not be possible in either a court or arbitration award. Court remedies are generally limited to the payment of money or compelling or preventing a specific action. Mediations allow more flexible resolutions, tailored to the interests of the parties. Statistics show that over 90% of cases, will in fact settle prior to the actual courtroom trial, often a year or more from the start of the litigation. Even a winning defense can drain the energy of the executives and the budget of the defendant company. There is often little to lose and much to gain from a mediation at the ear- 13 57974_GACC_ACG 4/18/07 10:50 AM Page 14 Features liest stages before much of the litigation budget is expended. Even if unsuccessful in reaching a settlement at that time, face-toface discussions can help each side understand the arguments and positions of the other side, and lead to more fruitful settlement discussions later. Who are mediators? Mediators have had special training in the art and science of mediation and most have had years of experience as a lawyer, judge, CPA or other profession (professional engineers, for example, often serve as mediators in construction dispute cases and insurance professionals in insurance coverage disputes). What happens during a mediation? The mediation proceeding itself is normally held in a conference room and generally lasts at least several hours. The mediator gives an opening statement informing the parties of the ground rules of the mediation, emphasizing his neutrality, that the proceeding is voluntary and that confidentiality protects anything that is said in the mediation. Each party in turn then has an opportunity to present the background of the dispute. After each side has explained its position, the work of the mediator begins in earnest. By summarizing the positions of the parties and the use of questions to each party to be sure that each side is aware of the other side’s position and the strength of its own position (usually discussed frankly in a 14 private caucus), the mediator can isolate the key issues and help each side realize what will likely happen if the case actually goes to trial, the “Best Alternative To a Negotiated Agreement” (BATNA), a concept devised by Professors Fisher and Ury in their seminal work Getting to Yes. Often during a mediation a party will hear for the first time a description of the case by someone other than its own lawyer. Advanced tools used by the mediator often include sophisticated formulas for dividing assets among competing parties, such as partners in an ongoing business or heirs to an estate, as well as computer-assisted decision tree analysis that can quantify the probability of success of each side’s claims and defenses. It is not unusual for both attorneys to tell the mediator confidentially that they are convinced that they have at least a 75% chance of winning. Such misapprehension on one or both sides is due to the common human tendency to overvalue one’s own position, a tendency documented in numerous academic studies. Actually, even “100%“ certain cases are generally not more than 80% certain to achieve a positive result in trial or arbitration due to such factors as overworked judges, less than competent arbitrators, unavailable witnesses and ambiguous documents. In litigation, of course, incorrect legal decisions can be appealed, (demanding more time and expense, of course) an alternative that does not exist in arbitration. The “magic” of mediation is that parties to a bitter and complex dispute can actually resolve it quickly and easily when removed from the combative atmosphere of litigation. The parties themselves, after knowledge of the then available facts and interests of each side, can make realistic judgments based on probabilities and interests in the same way they do in their daily business lives. At any stage of a dispute, mediation can significantly reduce the time and expense of litigation or arbitration and can often lead to a continuation of a long term relationship. I About the Author A New York City based lawyer and mediator, Richard Lutringer is counsel to Schiff Hardin, LLP. Since completion of his legal studies in the U.S. and Germany, he has practiced as an international corporate lawyer representing public and private European companies with respect to their U.S. business. As a mediator he is on the roster of approved mediators of the New York Supreme Court and the United States District Court, Southern District of New York. German American Trade · Vol. 18 · No. 4 57974_GACC_ACG 4/18/07 10:51 AM Page 15 Features Norma Brenne Henning Honorary Consul Series: Part 3/9 I grew up in Germany and came to the United States in 1986 after working for the U.S. Army in Bavaria. I am a mother of two – Greg, 19, and Michelle, 17, and newly married to my husband, Todd, a Canadian. After coming to the U.S., I studied journalism in Alabama and law in Florida. I have now been practicing law in Southwest Florida for ten years. My husband and I run a law firm together, advising foreign clients in the areas of immigration law and providing general legal counseling. How would you characterize both your relationship to Germany and Germany’s importance to you? I have actually grown much closer to Germany since I left. As a young woman, I did not feel patriotic. My generation was not raised that way. Now I have learned to accept the past and look toward the future. It is very important to me. Why have you agreed to serve Germany as an unsalaried honorary consul? How could I refuse? The position gives me a platform to German American Trade · Vol. 18 · No. 4 improve understanding between my two favorite nation and to make a difference in people’s lives. I was honored to be asked. As a single mom in her thirties, I did not think I fit the bill. What do you value most about Germany and its people, what less so? I like the straightforwardness. People will usually speak their minds. Such directness is considered rude in the U.S., but at least you know where you stand. I believe that negativity has a way of growing more 15 57974_GACC_ACG 4/18/07 10:51 AM Page 16 Features powerful the more you think about it, so I choose not to. There is good and bad in everything, otherwise life would be boring. What do you value most about the United States and Americans, what less so? I most value the people’s entrepreneurial spirit, positive thinking and a culture and a system that allows people to pursue their dreams. As a moth- Advertisement für Deutsche in den USA freie Arztwahl weltweit Adelheid Helbich und Dr. Nikolaus Helbich 20 Jahre Erfahrung! Deutsche Krankenversicherungen +1-212-316-1641 www.helbich.com [email protected] German ealth er with two children, I am not sure I would have graduated from law school in Germany. What comes to mind when you hear the word Heimat? Heimat is a safe place to be myself and to be accepted the way that I am, where people laugh at my jokes. Heimat is also the place where one has the greatest duty to make a difference. I guess for me, home is where the heart is, and my heart is in Germany and the United States. In what respect is Germany important to your region of the United States? German visitors make up a significant portion of tourists, seasonal residents and foreign investors in Florida. There are many business and educational partnerships. Furthermore, my new home state of Florida and my old home state of Bavaria have entered into a special cooperation agreement with respect to the exchange of business, scientific and cultural information. How would you describe your role as a link between Germany and the United States? I would describe it as a perfect fit. I have been working in German-American relations my entire professional life in one way or another. I am passionate about helping people understand each other. Speaking the language and true understanding are not the same thing. What impact do the political relations between the two countries have on your work? I cannot and do not want to imagine a world in which the United States and Germany are not friends and allies. The strain on German-American relations after the beginning of the Iraq war has been difficult for me. I am very encouraged by the promise of better days. How does your community respond to you as German Honorary Consul? The community in my district is very supportive. My position allows me to meet dignitaries and discuss important issues with people to whom I would have little or no access as ‘just Norma.’ When I need help from local authorities, I have always met with open doors and open ears. What official act that you carried out as Honorary Consul has influenced or engaged you most? The most memorable act was reuniting a seven-year-old Ger- Plans Worldwide, Inc. 16 German American Trade · Vol. 18 · No. 4 57974_GACC_ACG 4/18/07 10:51 AM Page 17 Features man boy with his mother and sisters after a year of separation. The family could not afford the boy’s trip home. Legalities had to be addressed, LTU airlines donated a ticket and my husband and I drove all day to put the boy on a plane. Knowing he is home is still a thrill. What do you wish for Germany and the United States in the future? I wish Germans would focus more on all the things that make Germany a great country. I wish there were a vision for the nation, a ‘German Dream’ that would serve individual interests and create a positive, inclusive cultural identity. In America, I wish politics were more rational. Mudslinging stands in the way of intelligent discussion about necessary reforms such as health care, education and – my personal favorite – immigration. For a Free Copy of Honorary Consul To order the complete “Honorary Consul” brochure (free of charge), please contact: The Embassy of the Federal Republic of Germany in Washington Barbara Stiem Press, Information and Public Affairs Phone: (202) 298-4252 Fax: (202) 471-5519 [email protected] Advertisement EUROPEAN OFFICE SUPPLIES We carry... What does the photo that you contributed mean to you? My contributed picture shows little Jermaine, his grandmother and me in Tampa, Florida. I sent him back to his mother in Germany by plane. This reminds me that everyone can make a difference in the life of another. I Leitz premium products Registers & Dividers Signature Blotter Books A-4 paper, files, sheet protectors Holepunches and more... Hundreds of items in stock in our USA warehouse. Everything you need to organize your office using the traditional Ordner system. Call for our complete catalogue today. e day Sam ng i shipp T03 GAT03 GA PO Box 2728 • Amherst MA • 01004 Call Now! 800-544-4744 w w w. e m p i r e i m p o r t s . c o m German American Trade · Vol. 18 · No. 4 17 57974_GACC_ACG 4/18/07 10:51 AM Page 18 Features Presenting a New Image of Trains Silent, Sleek, 18 German American Trade · Vol. 18 · No. 4 57974_GACC_ACG 4/18/07 10:51 AM Page 19 Features A fast theme captivated the audience at a luncheon organized by the German American Chamber of Commerce of the Midwest and the Indiana High Speed Rail Association on March 2nd in Munster, Indiana: “Transportation Synergies and the Midwest Regional Rail System”. At the 4th annual Chicago Area Business & Transportation Luncheon, Oliver Hauck, President & CEO of Siemens Transportation Systems discussed the future of rail, especially high-speed rail and intermodal transportation in the US. Hauck explained that the benefits of high-speed rail are obviously speed, but also convenience and sophistication. He exemplified this with examples of Asia and Europe, where high-speed rail is standard and available to everyone. While in Asia, the smart system connects and moves society, in the US rail transportation is not a major device of transportation. In Europe, he said high-speed rail is standard and a major means of transportation. Hauck cost and time savings. Trains argued there is an opportunity won’t get stuck in traffic! Hauck for rail to become competitive also mentioned that local jobs in the US, in particular through can be created through improvenew developments in the area ments in the rail system, which of high-speed rail. cannot be off-shored. 47,500 jobs One thing that needs to hap- would be created for every billion pen for a better and profitable dollars spent in railroad systems. future rail system is a change in While all arguments for a the mind-set of the American convenient, fast, and reliable consumer. An image of a silent, railroad system sound promissleek, sexy, and smooth train ing, many barriers such as needs to be created in order to infrastructure and image need remove the one of to be overcome in the dirty, loud, old order to make rail Several issues freight train. In an alternative to need to be Europe, people view other transportation trains as a very conaddressed, such systems in the US. venient, fast, and Around 70 guests at as convenience, reliable transportathe luncheon, most environment, tion system, whether of them from the it is for freight or pas- and employment t r a n s p o r t a t i o n sengers. In order to industry, applauded opportunities. raise awareness about Hauck’s thoughts the benefits and and ideas, and advantages of an improved rail agreed that this matter needs system, several issues need to be the attention of lawmakers on addressed, such as convenience, the federal level to make furenvironment, and employment ther progress. The Indiana opportunities. According to High Speed Rail Association Hauck, trains are 8 times more has been promoting high speed energy efficient than rubber and rail transportation through air based systems. This allows for Indiana since 1993. I Sexy & Smooth German American Trade · Vol. 18 · No. 4 19 57974_GACC_ACG 4/18/07 10:51 AM Page 20 Regions WASHINGTON From Steuben T By W. Pfaeffle and R. Metz (Reprinted from the Atlantic Times) A rendering of Hockemeyer Hall in Washington, future German-American Heritage Center of the USA 20 he tale is persistent and agonizingly elusive. One hears it mostly in Germany that America – or at least Pennsylvania – was one vote away from being a Germanspeaking nation. And the deciding vote in favor of English was cast by a person of German origin. The tale is not true but it is not as fanciful as it might seem. None other than Benjamin Franklin feared the growing number of Germans in his home state. “Why should Pennsylvania, founded by the English, become a colony of aliens who will shortly be so numerous as to Germanize us instead of our Anglicizing them,” Franklin asked, according to historian Edmund S. Morgan. Blame the English, Ben. It was William Penn, an English member of the Quakers, who in the mid-17th century had invited the first large group of Germans to populate a huge tract of land later known as Pennsylvania. While Germans became the largest ethnic group there, German was never considered for the national language, even though vast numbers of Pennsylvanians spoke it, including the legendary frontiersman Daniel Boone, an Englishman. But every legend contains a kernel of truth. German linguist Bastian Sick discovered it: In 1794, German immigrants from Virginia petitioned the German American Trade · Vol. 18 · No. 4 57974_GACC_ACG 4/24/07 3:51 PM Page 21 Regions WASHINGTON to Schwarzkopf 60 million Americans are of German-speaking ancestry U.S. House of Representatives to translate all laws into German. The committee in charge voted no, 42-41. The German House Speaker Frederick Mühlenberg abstained. He said the sooner Germans became Americans, the better. So they have. German-Americans have played a role in every major American event, deeply influencing “our national life,” wrote Theodore Huebener in “The Germans in America.” The Pennsylvania “Dutch” weren’t the first German-Americans. Germans were among French Protestants who settled in Port Royal, South Carolina, in 1562. And there is conclusive evidence that the glassblowers who settled in the colony of Jamestown in 1607 were Germans. Liberals by tradition, they widely supported the revolution. Three centuries later, when reactionary rulers in Germany fought attempts by liberals to reform the constitution in the 1848 revolution, thousands fled, including aristocrats who founded New Braunsfeld, Texas. Today more Americans can claim German ancestry than any other ethnic group. Don Tolzmann, director of GermanAmerican Studies at the University of Cincinnati, disputes the 2000 Census Bureau’s estimate of 40 million. Ten years earlier, the census had German American Trade · Vol. 18 · No. 4 put the number at 60 million. “Just ask yourself if 20 million, or one-third, died in 10 years.” Tolzmann estimates that the number of Americans claiming German heritage is about 60 million, including German speakers from Austria, Alsace, Luxembourg and Switzerland. Germans have integrated so fully that it is hard to trace them. The German-American Heritage Foundation is committed to keeping the memory of German roots in the U.S. alive. It needs to raise an additional $2.0 million to complete the purchase and renovations of a National Heritage site in Washington D.C., which all Americans of German ancestry can call “home.” A building has been purchased and renovations are expected to be completed by December 2007. The man behind the fundraising is Bern E. Deichmann. “We are the only major ethnic group that doesn’t have a heritage center in Washington, and if we don’t do anything, our heritage will soon be forgotten,” Deichmann says. Deichmann is proud of endorsements by former Secretary of State Henry A. Kissinger, former German Ambassador to the U.S. Jürgen Ruhfus, and the 1999 Nobel Price winner in Medicine, Günter Blobel as well as the German Embassy. I GAHF President Bernd Deichmann 21 57974_GACC_ACG 4/18/07 10:51 AM Page 22 Regions MIDWEST Why the Transatlantic Relationship Matters Several honorable guests came to speak on the EU Presidency and transatlantic trade relations on March 12th at the Mid-America Club in Chicago. 22 German American Trade · Vol. 18 · No. 4 57974_GACC_ACG 4/18/07 10:51 AM Page 23 Regions MIDWEST T he event, organized by the German American Chamber of Commerce of the Midwest (GACCoM), the Chicago Council on Global Affairs, and the Consulate General of the Federal Republic of Germany, brought three Ambassadors to the podium: His Excellency Klaus Scharioth, Ambassador of the Federal Republic of Germany to the US, His Excellency John Bruton, Head of Delegation of the European Commission to the US, both spoke on transatlantic relationships, as well as former US Ambassador to Germany and GACCoM Board Member JD Bindenagel, who moderated the panel. Accompanying the Ambassadors was Dr. Daniel Hamilton, Director of the Center for Transatlantic Relations at John Hopkins University and co-author of the study, The Transatlantic Economy 2006. Hamilton discussed major findings of his study, explaining that the transatlantic economy is substantial and growing even stronger. He pointed out that while both trade and investment are the base of the transatlantic economic relationship, this relationship is more investment- than trade-driven. Half of the United States’ global profits were from Europe in 2005, which makes Europe the number one income source for the US. US investment in China, for example, was only 23% of the US investment in Belgium, while US investment in Germany was 4 and a half times larger than in China. These numbers indicate that while German American Trade · Vol. 18 · No. 4 the rise of China and India na or making smart moves have been viewed by many as a solely in Europe’s or the US’s sign of “transatlantic divorce,” favor, but rather about cooptransatlantic bonds have only eration. The EU, as the only grown closer and stronger since multi-democracy, is an excelthe beginning of this decade. lent role model for the entire Following Hamilton’s world. When dealing with remarks, Ambassador Scharioth issues such as war, terrorism, opened his speech with the and dictatorships, democratic words: “The EU matters, the relationships matter as a way transatlantic relationship mat- for everyone to voice their ters, multilateralism matters.” opinion through elected repIn his speech, the Ambassador resentatives. Democratic argued that neither the US nor diplomacy is important for Europe is strong enough to act globalization to survive. unilaterally to influence imporWith this final remark, Brutant global matters. While ton ended the evening program discussing the bilateral effort leaving over 260 guests and and success of and in other executives from all industries countries, Ambasand backsador Scharioth grounds with “The EU matters, kept highlighting interesting facts the transatlantic the significance and figures, and of mutual underrelationship matters, thoughts and standing and a opinions. All Bilateralism matters.” bilateralism three speakers between the US agreed that the and Europe. Ambassador Schar- future of the transatlantic relaioth also discussed the initiative tionship needs to be considered taken by Chancellor Merkel for carefully, with an aim towards a new transatlantic partnership, even closer bonds and acting as and the topic of energy and cli- an example for other nations mate change: two issues, he and relationships. The speeches explained, that are of great sig- stimulated the audience to nificance for the tightening of a think in many ways they had transatlantic relationship. not before and prompted many Adding to Ambassador questions. Comments from the Scharioth’s and Dr. Hamil- audience were generally in ton’s remarks, Ambassador accordance with the speakers Bruton argued that the US and many guests expressed and Europe have a stake in confidence in the positive and each other and explained collective future of the transatthat when one suffers, the lantic relationship. Because the other one suffers as well, transatlantic relationship matwhich is the fundamental ters, the German American truth of investment. This Chamber of Commerce of the means that the transatlantic Midwest will continue to relationship is not about organize more events around gaining advantage over Chi- this topic. I 23 57974_GACC_ACG 4/18/07 10:51 AM Page 24 57974_GACC_ACG 4/18/07 10:52 AM Page 25 Regions NEW YORK GACC Annual Meeting 2007 Women Power on Board of Directors Written by Nicola Michels, GACC New York Hilde Holland Partner at Wuersch & Gering LLP Harriet P. Higgins Financial Advisor at Citigroup Global Markets Inc. T he days of the old boys club are over. For the first time in the 60 year history of the German American Chamber of Commerce, three women were elected to the Board of Directors: Mrs. Hilde Holland, Partner at Wuersch & Gering LLP, Mrs. Harriet P. Higgins, Financial Advisor at Citigroup Global Markets Inc. and Mrs. Dagmar Cassan, Executive Managing Director of the State of Bavaria U.S. Office for Economic Development. German American Trade · Vol. 18 · No. 4 Dagmar A. Cassan Executive Managing Director State of Bavaria U.S. Office for Economic Development Other results of the Annual Meeting on March 29th at the offices of Baker & McKenzie LLP included the election of Mr. Norbert Litzkow, CFO Mercedes Benz of North America, Inc. and Mr. Gary Elliott, Chairman of Thyssenkrupp USA, Inc. Dr. Hans-Henning Maier, President & CEO of Stinnes Corporation was promoted to Vice Chairman and Mr. Siegfried Buschmann to Honorary Directory. Mr. Georg Budenbender retired from the Board. I 25 57974_GACC_ACG 4/18/07 10:52 AM Page 26 Regions SAN FRANCISCO California/Germany Solar Conference & Solar Business Delegation The German American Chamber of Commerce, California Branch, shines in the success of its 3rd Germany California Solar Day held in San Francisco on March 13th and looks forward to hosting it’s first ever ‘California Solar Business Delegation to Germany’ this coming September. T he California sun glistened on Pacific Gas & Electric (PG&E) Headquarters in downtown San Francisco on March 13th, 2007 as 200 guests attended the 3rd Germany California Solar Day to hear keynote speeches from leading solar experts from Ger- 26 many and California. The morning half of the full day conference included 11 presentations from various agencies, organizations as well as government affiliated speakers, such as California’s Public Utilities Commissioner, Dian Grueneich, and Sanford Miller of the California Energy Commission. PV NOW’s executive director, David Hochschild, was also among the speakers and gave an excellent overview of the current solar market and political developments in California and the US. The California Solar Initiative (CSI), which is currently in its fifth month of development proved to be a “hot topic” of discussion and debate. German experts were not hesitant in giving a strong sense of dissatisfaction that California should implement higher solar requirements and regulations German American Trade · Vol. 18 · No. 4 57974_GACC_ACG 4/18/07 10:52 AM Page 27 Regions SAN FRANCISCO Written by Dahlia Krausse, GACC California including their belief of the benefits of a feed-in tariff, than is currently proposed in such initiatives as the CSI. During the afternoon part of the conference, world leading German solar companies, such as, Conergy, SMA, Solon, SolarMarkt and Kaco Solar, presented their product and service offerings giving attendees a good insight of what shall be expected in the coming years. Ensuing the full day conference was a networking reception plus one-on-one meetings arranged by the GACC to promote cooperation and partnerships between German and Californian companies. During the conference and three days of business matchmaking over 100 meetings between German and American representatives took place. It is through conferences such as this one that the joint German American Trade · Vol. 18 · No. 4 collaboration of Germany and California will continue to develop and strengthen the solar industry. The next upcoming solar project to be organized by the GACC California Branch will take place this coming September when the chamber will host and accompany up to 10 Californian Solar companies via a four day delegation visit to Germany. With the German solar industry booming from $585 million in sales in the year 2000 to $6.2 billion in 2006, the German solar industry continues to climb rapidly. In 2006, Germany installed about 50% of all new solar thermal installations throughout Europe covering a total area of 15.1 million square feet and producing over 1,050 MWth. With Germany proving it is at the forefront of the industry, this delegation serves as an ideal opportunity for American companies interested in strengthening their contacts and procuring supply agreements with German PV and solar thermal manufacturers or establishing partnerships and investing in the region. This project is supported by Invest in Germany, Berlin Partner GmbH, German Solar Industries Association, Brandenburg Economic Development Board, State of Saxony, Thuringia State Development Corporation and the German Office for Foreign Trade. I Website Information For more information regarding this delegation please visit the GACC California Branch website: www.gaccsanfrancisco.com 27 57974_GACC_ACG 4/18/07 10:52 AM Page 28 Regulars German American Company News Schwarz Pharma begins laying off employees (GM Today) In light of losing patent protection for all its major U.S. products, German-based Schwarz Pharma has begun laying off staff at its American headquarters in Mequon. The exact number of employees affected by the layoffs is unknown at this time due to the current restructuring process, said Schwarz Pharma spokeswoman Antje Witte. Union opposes Chrysler private-equity sale (AP) The powerful German trade union IG Metall is opposed to DaimlerChrysler selling its Chrysler business to a private equity buyer, a regional union leader told a German newspaper. “We don't have any interest in seeing Chrysler sold to a locust,” Joerg Hofmann, the head of union IG Metall in the German state of Baden-Wuerttemberg, told the Berliner Zeitung. “There should be a solution for our colleagues in the U.S. which benefits the Chrysler brand,” Hofmann said. “A purely financial investment with the aim of making a quick buck doesn’t do much in this respect.” 28 Porsche moves to keep Volkswagen in German hands but dismisses takeover (AP) Prestige automaker Porsche will increase its stake in Volkswagen AG, maker of the Beetle, Golf and Jetta, in a move aimed at keeping the company firmly in German hands – though it does not plan to acquire Europe’s biggest car maker. At 31 percent, Porsche will be Volkswagen’s largest shareholder followed only by the German state of Lower Saxony, which holds 20.3 percent. The Clash of the Titans: SAP vs Oracle (Spiegel Online) Oracle has filed a lawsuit against SAP. German corporate software giant SAP has always portrayed itself as more credible and trustworthy than its archrival, Oracle. That’s why the charges leveled in a lawsuit filed by Oracle on Mar. 22 against SAP are especially shocking. In the 43-page suit, Oracle alleges that SAP committed “corporate theft on a grand scale” by downloading thousands of copyrighted software patches and other confidential support materials from Oracle servers. Gerresheimer expands pharma glass ops (www.in-pharmatechnologist.com) German packaging firm Gerresheimer announced this week that its US subsidiary, Kimble Glass, has acquired the pharma-glass operations of US manufacturer Comar for an undisclosed sum, its second significant acquisition in three months. Pharmaceutical and life science related turnover accounts for around 75 per cent of Gerresheimer’s revenues, and the company is aggressively pursuing expansion plans, having also made a handful of acquisitions to break into the Chinese market during the past year. Sycor GmbH chose Pittsburgh region as home for its North American subsidiary Sycor Americas Inc. (Pittsburgh Post-Gazette) Sycor provides information technology services to manufacturers in the chemical, plastic, glass, medical device, oil, gas, mining and cement industries. It chose Pittsburgh over Montreal, Toronto and Minneapolis as the home for its North American headquarters. German American Trade · Vol. 18 · No. 4 57974_GACC_ACG 4/18/07 10:52 AM Page 29 Regulars Ifo Business Climate Index Rises Again By Dr. Gernot Nerb, Director of Business Surveys, Ifo Institute for Economic Research, Munich, Germany T he Ifo Business Climate Index for German industry and trade has risen in March. The slight decline in the Index in the first two months of the year, which was presumably attributable to the increase in VAT, has not continued. The surveyed firms have given more favourable assessments of their current business situation and their business outlook for the coming six months. The economic upswing is strong and robust. Especially in manufacturing, the business climate index has improved. Both the current situation and the six-month outlook have received more positive appraisals. This improvement is all the more remarkable as expectations for future export business remain largely unchanged. A slight cooling of the business climate has been reported in construction. Building contractors have given similarly Month/year 03/06 04/06 05/06 06/06 07/06 08/06 09/06 10/06 11/06 12/06 01/07 02/07 03/07 Climate Situation 105.5 105.9 105.6 106.8 105.6 105.0 105.0 105.4 106.9 108.7 107.9 107.0 107.7 Expectations 105.3 106.4 107.4 109.5 108.7 108.8 111.3 111.9 113.9 115.3 112.7 111.6 112.4 105.6 105.4 103.9 104.1 102.6 101.4 99.0 99.2 100.2 102.5 103.2 102.6 103.2 Germany (Index, 2000 = 100, seasonally adjusted) positive appraisals of their current business situation as in February but their expectations for the coming six months are somewhat less optimistic than four weeks ago. In wholesaling the business climate has also weakened slightly. Wholesalers have assessed their current situation less favourably than in February but are slightly more confident regarding the six-month outlook. In retailing the business climate has improved somewhat. Last month retailers gave clearly worse assessments of their business situation as a result of the increase in VAT, but in March their discontent has weakened. Their six-month outlook remains cautiously optimistic. Ifo Business Survey – Trade and Industry1), March 2007 Index, 2000 = 100, seasonally adjusted 120 120 Ifo Business Climate 115 115 Assessment of business situation 110 110 Business expectations 105 105 100 100 95 95 90 90 85 85 80 80 75 75 1995 1996 (Source: Ifo Business Survey) 1997 1998 1999 2000 2001 2002 1) Manufacturing, construction, wholesaling and retail German American Trade · Vol. 18 · No. 4 2003 2004 2005 2006 2006 27/03/2007 © ifo 29 57974_GACC_ACG 4/18/07 10:52 AM Page 30 Masthead Atlanta Volume 18 German American Chamber of Commerce of the Southern United States, Inc. 530 Means Street, Suite 120 Atlanta, GA 30318 Telephone: 404-586-6800 Fax: 404-586-6820 [email protected] www.gaccsouth.com Chicago German American Chamber of Commerce of the Midwest, Inc. 401 N. Michigan Avenue, #3330 Chicago, IL 60611-4212 Telephone: 312-644-2662 Fax: 312-644-0738 [email protected] www.gaccom.org New York German American Chamber of Commerce, Inc. 75 Broad Street, 21st Floor New York, NY 10004 Telephone: 212-974-8830 Fax: 212-974-8867 [email protected] www.gaccny.com Philadelphia German American Chamber of Commerce, Inc. Four Penn Center, Suite 200 1600 John F. Kennedy Blvd Philadelphia, PA 19103-2808 Telephone: 215-665-1585 Fax: 215-665-0375 [email protected] www.gaccphiladelphia.com GERMAN AMERICAN TRADE The National Magazine of the German American Chambers of Commerce GERMAN AMERICAN TRADE is published monthly except January & July. 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 to edit letters to be reprinted. Editor and publisher cannot accept any liability for the accuracy or completeness of any material published. Contributed articles do not necessarily reflect the Chamber’s position. If you have any comments regarding articles in this magazine, please call 212-956-1770. One Year Subscription: U.S.$50.00 (Euro 51,-) Single copy: U.S.$5.00 Photos: German American Trade Archive U.S. Postmaster send address change to: German American Chamber of Commerce Inc.; 75 Broad Street, 21 Fl., New York, NY 10004. Second class postage: Registration, U.S.P.S. No. 004995; U.S.; Office of publication: New York Publication date of this issue: May 2007 © Copyright 2007 German American Trade Publisher German American Chamber of Commerce, Inc. 75 Broad Street, 21 Fl., New York, NY 10004 Telephone: 212-974-8830, Fax: 212-974-8867 San Francisco Editorial Office German American Chamber of Commerce California Branch United States, Inc. 201 California Street, Suite 450 San Francisco, CA 94111 Telephone: 415-248-1240 Fax: 415-627-9169 [email protected] www.gaccsanfrancisco.com Editor: Nicola Michels GACC Photographer: Thomas Dzimian Advertising Coordination: Nicola Michels Telephone: 212-956-1770, Fax : 212-974-8867 [email protected] Washington 328 Commerce Street Hawthorne, NY 10532 Telephone: 914-741-0445 [email protected] Representative of German Industry and Trade 1627 I Street, N.W., Suite 550 Washington DC 20006 Telephone: 202-659-4777 Fax: 202-659-4779 [email protected] www.rgit–usa.com 30 Number 4 Production AHK German American Trade · Vol. 18 · No. 4 4/18/07 10:52 AM Page 31 www.beaufort8.com 57974_GACC_ACG The Performance Architects Performance improvement is not an art form. 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