German Industry Slams High Energy Costs as ‘Self-Made’ Problem

Scholz has pledged sweeping reforms to boost competitiveness
German ‘Mittelstand’ accounts for nearly half of output

Germany is heading for its first full-year recession since the pandemic. Europe’s largest economy faces a number of long-term headwinds including a dwindling workforce, a vast reliance on China and a painful energy transition. It’s an uphill battle for many companies — particularly for smaller ones. Bloomberg’s Oliver Crook spoke with Christoph Ahlhaus, Chairman of German Association of Small and Medium-sized Businesses.Source: Bloomberg

Provide news feedback or report an error

Confidential tip?

Send a tip to our reporters

Site feedback:

Take our Survey

By Oliver Crook

October 6, 2023 at 7:55 AM UTC

This article is for subscribers only.

Germany’s small and mid-sized companies, the backbone of Europe’s largest economy, are urging the government to ease burdens like notorious bureaucracy and high energy costs, which they see as being partly self-inflicted.

Germany should focus on finding new sources of innovation and growth outside of heavy industry and the chemical sector, said Christoph Ahlhaus, chairman of BVMV, the association of mid-sized companies. But to master the shift, the government needs to provide a new framework for future investments.