Germany's Chemical Industry in Crisis: Tensions with Iran Disrupt Supply Chains
German chemical industry on the brink of crisis - Germany's chemical industry is currently operating in a 'full crisis situation'. The country's main industry associations, particularly Chemieverband VCI, are warning about the serious impacts on the industry from geopolitical tensions in the Middle East and regional instability, referred to as the 'Iran war'.
Industry representatives express growing concerns about serious difficulties in supply chains and China's reduction in export volumes. Disruptions in primary supply chains are already being observed, leading to interruptions in the production process and increased costs.
Forecasts for the future are also not optimistic. Further decline in the chemical industry's annual performance is expected for 2025. This situation raises serious questions about the sustainability of the chemical sector, which is considered one of the main pillars of the German economy.
The IG BCE trade union also expresses deep concern regarding the future of the industry. They emphasize that the impacts of regional tensions on the industry are not being adequately assessed and suggest turning to domestic coal sources instead of oil imports from the Gulf to ensure energy security.
This crisis once again demonstrates the necessity for Germany to re-evaluate its energy policy and reduce the industry's foreign dependence. Government and industry leaders are urged to take urgent measures to strengthen the resilience of supply chains and diversify energy sources.