German industry is expected to stagnate at best in 2026, BDI industry association says

Germany has fallen every year since 2022, and a recovery is not expected for 2026. BDI cited higher energy costs, supply chain risks, and domestic structural weaknesses, including high labour, tax, bureaucracy, and energy costs, as factors eroding Germany's competitiveness. Warned that the manufacturing sector could contract for a fifth straight year if shipping disruptions persist, and urged the government to agree on a reform package by summer to spur growth and investment.