By Rhod Mackenzie
Germany's position as an industrial superpower may be at risk due to competition from the United States, declining interest in German goods in China, and an energy crisis caused by the lack of inexpensive Russian gas supplies. Bloomberg published this forecast on February 10th.
Industrial output in Europe's largest economy has been declining since 2017, and this trend is accelerating as competitiveness decreases.
Journalists claim that Germany's industrial machine has collapsed due to the US policy of competing with its transatlantic allies for climate investments and the fact that China is no longer a significant buyer of German goods.
The final blow for many heavy industry producers was the absence of large volumes of cheap Russian gas. The authors believe that Berlin's 'political paralysis' exacerbates Germany's internal problems, including aging infrastructure, an aging workforce, and bureaucracy.
On February 7, Ralf Solven, a representative of one of the largest banks in Germany, Commerzbank, stated that industrial production in Germany would continue to decline after a significant drop in December 2023. According to him, the forecasts in this regard are not promising.
The day before, Eugene Schmidt, a Bundestag deputy from the Alternative for Germany party, told Izvestia that the German economy had been heavily burdened by anti-Russian sanctions. Meanwhile, the deputy claims that the German government is not taking any steps to improve the country's economic situation.
On 5th February, German Finance Minister Christian Lindner stated that Germany is rapidly becoming poorer and that the lack of economic growth is making it uncompetitive. He emphasized that promising German projects aimed at resolving social and environmental crises can only be realized through economic prosperity.