Germany's competitiveness is decreasing year by year. What is going wrong in a country considered a symbol of economic power?

The German concern ThyssenKrupp, which also operates in Poland, is one of the world's largest steel producers. He announced that by 2030 he would lay off five thousand people and transfer another six thousand jobs to external suppliers.

German trade unionists say: it's a tragedy. – People are very concerned. This all happens before Christmas, which shows how little tact the management shows. You don't do that, you don't treat people that way, says Tekin Nasikkol, chairman of the Works Council of the ThyssenKrupp Group.

The reasons for the cuts are – according to the company – growing competition from Asia, high electricity costs and the slowing German economy. Among other things, its driving force – the automotive industry – is in trouble.

In the third quarter of 2024, profits of all German major car manufacturers fell dramatically.

Volkswagen even plans to close three of its factories in Germany for the first time in history. The collapse of the automotive industry may be aggravated by the tariffs announced by Donald Trump on goods imported from Europe, because foreign cars on American roads mainly come from Germany.

– The European Union must be united. It cannot break up into two or three blocs of countries, but respond as a united Europe, emphasizes Robert Habeck, Vice-Chancellor of Germany and Minister of Economy.

The government in Berlin is demanding European solidarity, although it was itself opposed to common EU tariffs on Chinese electric cars, because Beijing's retaliation could affect the profits of German companies operating dynamically on the Chinese market.

– We have the largest research and development network in China outside Germany, employing over 3,200 engineers. Competition is good. She motivates us more, notes Sean Green, president of BMW China.

A report by the Institute of the German Economy and the Boston Consulting Group indicates that: “The German economy needs the greatest transformation effort since the post-war era.”

Germany's competitiveness is decreasing year by year – a reflection of its long-standing dependence on cheap Russian gas. Germany is teetering on the verge of recession, and Poland may backfire.

Our exports across the Oder were worth over EUR 80 billion last year.

– Germany is a very important partner for us when it comes to exports. Nearly one third of Polish exports is exported to the German market. Therefore, the collapse of the German economy and the collapse of German exports may result in a reduction in orders in Poland – warns Dr. Hab. Aneta Zelek, economist from the West Pomeranian Business School in Szczecin.

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The situation is made worse by the confusion on the German political scene. At the beginning of November, the ruling coalition collapsed. There are early elections on the horizon.

American Ford pointed to the unstable political situation, in addition to high energy prices, as the reason for layoffs in its German factories. Three thousand people are expected to lose their jobs.

– The mood is gloomy, we employees have the impression that the management has no plan beyond reducing employment and saving money – says Martin Schwartz, an employee at the Ford plant in Cologne.

Germany is gradually losing its stereotypical image of a solid and orderly country. The Willy Brandt Airport in Berlin, which has been built for 14 years, is still a symbol of gross negligence and incompetence.

In recent days, the whole country has been laughing at the viaduct in Brandenburg, which cost 17 million euros, and there is no road leading to it.