Steel industry under pressure: Thyssenkrupp announces drastic measures

Steel industry under pressure: Thyssenkrupp announces drastic measures

The German steel industry is currently going through a difficult phase and is facing massive challenges. Large companies like Thyssenkrupp are struggling with declining demand and red numbers. This development is reflected in Thyssenkrupp's decision to cut jobs and reduce production capacity. Other sectors in Germany are also suffering from similar problems, which indicates a general weakening of the industry.

The European steel industry is facing a weak recovery, particularly in Germany, which contrasts with developments in the USA. Industry representatives are skeptical about the slowly increasing demand for steel in the country. Martin Theuringer from the Steel Association emphasizes the urgent need for action to strengthen Germany as an industrial location again. Targeted measures must be taken to compete with other regions of the world.

A significant factor that is putting a strain on German companies is the flood of cheap imports from Asia, especially from China. The massive subsidization of certain industries in China means that European companies are confronted with unfair competition conditions. In addition, the switch to environmentally friendly “green steel” influences companies’ business figures, as strict climate targets influence production.

The federal government's support for the steel industry through funding and the promotion of "green steel" are important steps to support the industry. Nevertheless, a comprehensive strategy is required to strengthen the competitiveness of German companies and maintain jobs in the country. It is crucial that Germany and the EU find concrete answers to the global economic challenges in order to secure the location in the long term.