Germany’s industrial production will decline again in 2024
According to the assessment of Siegfried Russwurm, the president of the Federation of German Industries (BDI), the country’s industries will experience a 15% reduction in production this year.
At the start of the Hannover International Industrial Fair, he said that despite the prospects for improvement, we should not deceive ourselves. According to him, the statistics in this area have shown a worryingly decreasing trend for years.
German industries have been harmed following Russia’s attack on Ukraine, especially with the sharp increase in energy prices. The president of the Federation of German Industries also pointed to the high interest rates, which, according to him, make investment more difficult.
In March this year, five leading German economic research institutes significantly revised their forecast for the current year downwards in their spring report. Their assessment last fall was that Germany’s GDP would increase by 1.3% in 2024.
The Hannover Industrial Fair was opened with the presence of Olaf Scholz, the Chancellor of Germany. This year’s partner for the fair is Norway.