Latest news with #HelenaMelnikov
Kuwait Times
4 days ago
- Business
- Kuwait Times
German factory orders fall amid tariff, growth woes
BOTTROP: The coking plant of ArcelorMittal Bremen at the Bottrop site is pictured from the Tetraeder viewing platform in Bottrop, western Germany.- AFP FRANKFURT: German industrial orders unexpectedly fell in June, official data showed Wednesday, as Europe's biggest economy struggles with prolonged domestic weakness and volatile US trade policy. New orders, closely watched as an indicator of future business activity, dropped 1.0 percent month-on-month, according to preliminary data from federal statistics agency Destatis, after a fall of 0.8 percent in May. Analysts surveyed by financial data firm FactSet had expected a rebound of 1.3 percent in June. Orders from abroad fell three percent, with a particularly heavy drop from countries outside the eurozone, while domestic orders increased slightly. There were big falls for orders from the crucial automotive sector, of transport equipment such as trains and ships as well as metal products. The economy ministry said that big swings in orders were no surprise 'given the persistent high level of trade and geopolitical uncertainty'. 'The industrial economy is likely to be characterized by subdued foreign demand in the future in light of what are now likely to be permanently higher tariffs on exports to the United States,' it added in a statement. EU exports to the United States have already faced tariffs of varying rates for several months. Under a deal struck between the bloc and US President Donald Trump last month, they are set to face across-the-board levies from Thursday of 15 percent, which will hit export power Germany hard.– AFP The majority of German companies expect further disruptions to transatlantic trade, according to a survey of about 3,500 enterprises by the German Chamber of Industry and Commerce (DIHK). It found that 72 percent are already feeling the negative effects of the current US trade policy and that 58 percent fear new burdens. 'US tariff policy has no winners. It harms businesses and consumers on both sides of the Atlantic,' said DIHK executive director Helena Melnikov. The German economy shrank for the past two years and the government's latest forecast, released in April, predicted zero growth for 2025 due to the impact of tariffs. Some institutes have, however, recently upgraded their forecasts to slight growth for this year, seeing signs that the downturn has bottomed out. – AFP
DW
6 days ago
- Business
- DW
Germany updates: WWII bomb prompts mass Dresden evacuation – DW – 08/06/2025
Authorities in Dresden have ordered the evacuation of parts of the inner city after a bomb find. Many German businesses expect negative fallout from the recent US-EU tariff deal, a study says. DW has more. Tens of thousands of people have been ordered to leave their homes in the eastern city of Dresden as experts set about defusing a bomb left over from World War II. Dresden's famous Frauenkirche (Church of Our Lady) is one of the monuments within the area to be evacuated. Meanwhile, a study by the German Chamber of Industry and Commerce has shown that a majority of German companies are apprehensive about the effects of a recent deal on tariffs struck between the EU and the businesses largely view the new tariff agreement between the US and the EU with concern, with the majority foreseeing added burdens to their operations, according to a survey by the German Chamber of Industry and Commerce (DIHK) whose results were released on Wednesday. More than half (58%) of the 3,355 companies included in the survey said they expected the deal to increase their burden. Just 5% saw the deal as having positive effects. Altogether 74% of companies that maintain direct business ties with the US foresee negative fallout from the deal, the study showed. The study indicated that more than half of firms directly involved in US markets plan to reduce trans-Atlantic trade, while 31% have revised the way they handle customs costs, among other things by passing on at least some of the increases to US customers. "This agreement may have been politically necessary, but for many companies in Germany, it's still a bitter pill," said DIHK managing director Helena Melnikov. "It brings new burdens instead of relief: higher tariffs, more bureaucracy and reduced competitiveness." Under the deal struck by European Commission President Ursula von der Leyen and US President Donald Trump amid a long-running trade dispute, most EU exports to the US will be subjected to a 15% tariff as of August 7. To view this video please enable JavaScript, and consider upgrading to a web browser that supports HTML5 video Authorities in the eastern city of Dresden say some 17,000 people will be forced to leave their homes on Wednesday to allow the safe defusal of a bomb left over from the Second World War. The British 250-kilogram (500-pound) bomb was found on Tuesday amid work to demolish remnants of the Carola Bridge, parts of which collapsed into the Elbe river last September. The bomb has to be defused at the place where it was found. The area to be evacuated contains several hotels, as well as the city's famous Frauenkirche, or Church of Our Lady, which is visited by thousands of people from all over the world each year. The demolition work at the Carola Bridge already uncovered a WWII bomb in January, prompting the evacuation of 10,000 people. Dresden was the target of four massive Allied bombing raids between 13 and 15 February, 1945, during which up to 25,000 people were killed and much of the city center destroyed. from the DW newsroom in Bonn on this sunny summer day! Even 80 years after the end of World War II, ordnance left over from the conflict is regularly found in Germany. Dresden, which underwent massive bombardment in the last year of the war, is seeing its second mass evacuation of the year following the find of a British bomb on Tuesday. In other news, a study has shown that many German companies take a negative view of the recent EU-US tariff agreement, which many commentators have denounced as a capitulation by the bloc to the whims of the unpredictable US president, Donald Trump. In this blog, you will find a rundown on the main issues in focus in Germany on August 6, 2025. DW wishes you good reading!
Yahoo
27-05-2025
- Business
- Yahoo
German businesses warn that economic upturn 'not yet in sight'
Germany's Chamber of Industry and Commerce (DIHK) does not foresee a rapid recovery of the German economy as it struggles to create growth, and called on the new government to make reforms. "The economic upturn that we all want and that our country needs is not yet in sight," said DIHK chief executive Helena Melnikov in Berlin on Tuesday. Fears are growing that, for the first time in Germany's post-war history, economic output will decline for the third year in a row. The DIHK continues to expect a decline in gross domestic product (GDP) of 0.3% for the current year. This makes the organization more pessimistic than the German government, which expects GDP to stagnate in 2025. Melnikov referred to the results of a new DIHK economic survey of more than 23,000 companies which found that the mood remained predominantly poor. Only a quarter of companies rated their situation as good, and business expectations remained pessimistic. According to the survey, companies see the economic policy framework, weak domestic demand, high labour costs, rising social security contributions and high energy and raw material prices as the greatest risks to their bottom line. Added to this is the unpredictable US tariff policy. Melnikov said comprehensive structural reforms, such as faster planning and approval procedures, are necessary to ensure that the planned debt-financed government fund of €500 billion ($570 billion) for investment in infrastructure and climate change measures can have full effect. The new German government has announced a comprehensive package of measures to be implemented before the summer recess to ease the burden on companies. These include a reduction in electricity tax and better depreciation conditions to stimulate investment. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Reuters
13-02-2025
- Business
- Reuters
German GDP expected to contract 0.5% this year, DIHK says
BERLIN, Feb 13 (Reuters) - The German economy will contract by 0.5% this year, shrinking for a third consecutive year, the German Chamber of Commerce and Industry (DIHK) said on Thursday, forecasting the longest period of weakness in Germany's post-war history. "This is a turning point and emphasises the acute need for action," DIHK managing director Helena Melnikov said, noting that a record 60% of companies see the economic policy framework as their biggest business risk. Increasing competition from abroad, high energy costs, elevated interest rates and uncertain economic prospects have taken their toll on the Germany economy, which contracted in 2024 for a second year in a row. The survey, conducted among 23,000 companies from all sectors and regions, shows that over the next 12 months, 31% of companies continue to expect business to get worse, while only 14% expect an improvement, the survey showed. In industry, only 22% of companies are planning more investment, while almost 40% are cutting back. "If this trend continues, Germany faces the threat of further deindustrialisation," Melnikov said. Export expectations also remain gloomy, as 28% of companies expect exports to fall over the next 12 months, while only 20% expect sales to other countries to rise. "Declining competitiveness and increasing protectionism are threatening the export-orientated German industry, which has always been a driver of economic growth," said DIHK head of foreign trade Volker Treier.
