German Chemical Industry Leaders Urge Swift Action Against Soaring Costs
German chemical industry leaders, including the VCI, BDA, BDI, DIHK, and ZDH, have united to urge Berlin and Brussels for swift action to tackle soaring electricity costs, bureaucracy, and excessive regulations. They warn that inaction could lead to the decline of key industries, as discussed at the recent Chemie & Pharma Summit and in meetings with EU Commission President Ursula von der Leyen.
The chemical industry is grappling with a 10 percent drop in orders and a 7 percent decrease in production compared to last year. Weak demand is pushing down producer prices, and many customer industries are scaling back production, impacting domestic chemical sales. The mood in the sector remains pessimistic, with no signs of improvement for three years.
VCI CEO Wolfgang Große Entrup has cautioned that Germany faces the loss of central industries without immediate intervention. The industry is calling for economic signals from policymakers to stimulate growth and investments. Despite the chancellor's promise of a course correction, including less burden and irrational regulation, the industry remains cautious about the future.
The German chemical industry is struggling with falling orders, production, and prices, exacerbated by a weak competitive position on foreign markets. It urges Berlin and Brussels to take concrete measures to reduce electricity costs and bureaucracy, and to enhance Europe's competitiveness. Without prompt action, the industry fears further decline and delays in economic recovery, which is not expected until next year.
Read also:
- American teenagers taking up farming roles previously filled by immigrants, a concept revisited from 1965's labor market shift.
- Weekly affairs in the German Federal Parliament (Bundestag)
- Landslide claims seven lives, injures six individuals while they work to restore a water channel in the northern region of Pakistan
- Escalating conflict in Sudan has prompted the United Nations to announce a critical gender crisis, highlighting the disproportionate impact of the ongoing violence on women and girls.
