Germany is a true automotive nation – and not just because of its extensive road network and lack of a general highway speed limit. The "Otto engine," developed in Cologne in 1876 by self-taught inventor Nicolaus August Otto (1832-1891), was a pioneer of the modern combustion engine. Karl Benz (1844-1929), one of his contemporaries, invented the automobile, as well as carburetors, spark plugs, and gearshifts. Back in 1885, in Mannheim, he built the world's first gasoline-powered vehicle, a three-wheeled vehicle with a top speed of 18 kilometers per hour. It was mocked as a "carriage without horses." Benz, on the other hand, sought a patent for his work. His wife, Cäcilie Bertha Benz, another automotive pioneer, drove the vehicle on its first long-distance journey. She drove 104 kilometers, refueling at a pharmacy along the way! By 1900, Benz's engine factory had grown to become the world's largest automobile factory.

Gottlieb Daimler (1834–1900), an engineer, also made history when he improved the gasoline engine and registered the patent for this quicker, smaller engine in Cannstatt, close to Stuttgart. He created the first motorbike in 1885 and then took the risk of fitting his engine to a boat, giving rise to the motorboat. A year later, Benz transformed "his" engine into a carriage, giving birth to the modern automobile as we know it.