German Industry Faces Declining Competitiveness

A new Ifo study reveals significant challenges for Germany's industrial sector due to rising costs and bureaucracy.

The Ifo Institute surveyed 2,000 German companies, finding the worst competitive position since 1994.
Germany ranks at the lower end of competitiveness in Europe, alongside Belgium, Austria, and Finland.
High energy costs, bureaucratic hurdles, and expensive raw materials are major concerns for businesses.
Germany's industrial production has fallen by 12% since 2018, with weak order intake and declining capacity utilization.
Energy-intensive industries are particularly struggling, impacting Germany's export capabilities.