It predates that. Their ww2 manufacturing was very much influenced by the fact they'd not really embraced industrial style assembly line manufacturing. They were still a nation of cottage industry specialists when it came to maufacturing. Their workers were much closer to skilled swiss watchmakers, than American or British assembly line workers.
Armchair historians like to speculate that Germany might have done better if they'd utilised less tank designs - usually suggesting they stop with PzIVs or Panthers, but none of their factories would have been able to easily switch, because each companies designers only created designed that their particular work-force and factories could produce. If you wanted to teach Henschel workers to build Krupp tanks, you would have had to shut down one factory entierly, and have the other working at reduced output for many months whilst they train the new workers.
I can't really comment on the car industry, but top end German components are still among the best in the world. There's no real magic, just they still have the attitude as the swiss watch maker and stick to extremely tight tolerance levels.