Financial expert warns: East German solar industry is on the verge of collapse

Financial expert warns: East German solar industry is on the verge of collapse

According to a report by www.schwarzwaelder-bote.de, rebuilding the solar industry in East Germany may face major difficulties. The Federal Constitutional Court's budget ruling could have significant effects on East Germany. According to Green Party politician Michael Kellner, the economy in East Germany is particularly affected, as a missing 60 billion euros endangers the climate and transformation fund. Of the announced investments in German industry of 80 billion euros, around 50 billion were in Eastern Germany. Kellner emphasized that investments and jobs must be secured through government support. Without the climate and transformation fund, neither the establishment of chip factories in Dresden and Magdeburg nor the reconstruction of the solar industry would be secured.

The FDP finance and budget expert Frank Schäffler calls for the waiver of subsidies for the chip factories in Magdeburg and Dresden and argues that these locations are not structurally weak areas.

The expert Claudia Kemfert recommends suspending the debt brake and cutting spending in non-future areas in order to realize the transformation in Germany.

These developments could have far-reaching effects on the financial industry and the market as a whole. In particular, the failure to rebuild the solar industry could lead to a loss of jobs and orders. In addition, a lack of investment in chip factories and other infrastructural projects could have a negative impact on economic development in East Germany. It remains to be seen how the federal government will respond to these challenges and what long-term effects these decisions will have on the economy.