Deindustrialization in Germany: Warning of loss of location

Deindustrialization in Germany: Warning of loss of location

Deindustrialization in Germany is increasingly becoming an issue as well-known companies such as Miele, Conti and Stihl are reducing their presence in the country and cutting jobs or shifting their investments abroad. Martin Herrenknecht, founder of Herrenknecht AG, which makes tunnel construction machines, emphasizes the importance of international investment for the future of his company, although he also wants to maintain the German location.

In an interview with the Frankfurter Allgemeine Zeitung, Herrenknecht sharply criticized the traffic light coalition's policies. He criticizes the government's widespread financial support and cites this as a potential reason for some companies to leave. He is particularly criticized for decisions in the social sector, such as demands for wage increases and the four-day week.

Herrenknecht sees the future of the economy more abroad, especially in countries like India, where he is planning future investments. He emphasizes the importance of a stable infrastructure and affordable energy supply for the economy. Herrenknecht warns of a further deterioration in the relationship between social costs and economic performance in the federal budget and calls for a realignment of political priorities.

Herrenknecht is not the only one to express concerns about developments in Germany. The employers' association Gesamtmetall and the trade union IG Metall also warn of the threat of deindustrialization. They are calling on the federal government to take measures to make Germany more attractive as a location, including competitive energy costs, improved investment conditions as well as accelerated infrastructure expansion and a strategic raw materials policy. In view of the shortage of skilled workers, they emphasize the need for greater support for education.