I cannot agree with this assessment, because you're talking about a key industry from the 80s. Germany's strengths is not just in cars, but also in tangible b2b products that require a high degree of know-how and engineering. Southern Germany is plastered with such companies, they deliver products to the rest of the world you and I haven't even heard of unless you're working in some specific business. These companies are very competitive and innovative.
If you have a problem with a product and call them about it, sometimes you can talk to the people who designed and built it, it's quite nice. They will also work with you to build similar things not yet in their catalogue if you need them (sometimes inventing new processes on the way), even if you don't need a lot.
