Volkswagen Considers Closing Factories: What This Means for the German Automaker Volkswagen made headlines on Monday with the announcement that it is contemplating shutting down factories in Germany, a move previously deemed unthinkable for the company. This decision, along with the possible end of the job security program in place since 1994, has left the 680,000 VW employees worldwide in a state of uncertainty. With experts predicting a significant shift at Germany’s largest industrial employer, the future of jobs and factories hangs in the balance. Despite being state-controlled, recent struggles have pushed VW management to consider unprecedented measures to cut…

Concerns Rise Over AfD Impact on Economy in Eastern Germany The recent regional elections in Thuringia and Saxony saw the far-right AfD emerge as a strong force, sparking fears of a political shift to the right in the former Communist East Germany. AfD leaders demanded a role in regional governments, but the CDU rejected any collaboration, citing a political firewall against the far-right. Both labor unions and business representatives expressed concerns over potential economic fallout, with investors wary of instability and an unwelcoming environment. The rise of the AfD raised alarms among business lobby groups and economists, who warned of…

Heatwave Hits Eastern European Agriculture Hard The summer of 2024 is proving to be a challenging one for Eastern European countries, particularly Ukraine and Romania, key corn suppliers. Unusual temperatures above 38 degrees Celsius have hit Ukraine, affecting corn pollination and leading to an expected harvest decline of 20-30%. Romania is facing a drought that has damaged crops on over 2 million hectares, prompting a request for over €500 million in EU aid. Commodities traders in Germany remain calm as the country imports from neighboring EU nations, but supply chain disruptions in Spain may affect the wider EU’s need to…

The German government’s new growth initiative proposes tax incentives of 30%, 20%, and 10% for skilled foreigners willing to work in Germany. Despite criticism from labor unions, the plan aims to make the job market more appealing to foreigners. Meanwhile, countries like Portugal, Spain, Italy, Sweden, Denmark, and the Netherlands have also implemented tax incentives to attract skilled workers. Portugal offers a flat tax rate of 20% for high-income individuals and freelancers working in the country. Spain provides a 24% flat tax rate for foreign workers. Italy’s tax system is complex, but foreigners can claim tax breaks depending on various…

The German Interior Ministry recently announced that Huawei and ZTE components must no longer be used in the country’s 5G networks by the end of 2026. The government views 5G networks as critical infrastructure due to their importance in various sectors. Germany must no longer ‘sit on the fence’ over Huawei To view this video please enable JavaScript, and consider upgrading to a web browser that supports HTML5 video Wind power market becomes new battlefield The collaboration between a German company and Ming Yang for wind turbines highlights the growing interest in Chinese suppliers. With Germany aiming for 80% renewable…

Russia’s alleged plot to assassinate the CEO of a major German arms manufacturer, Armin Papperger, has been revealed by CNN. The motive behind this plan was to deter the company, Rheinmetall, from supplying military equipment to Ukraine. Since the start of Russia’s invasion in 2022, Germany has provided €5.2 billion worth of military support to Ukraine. Papperger, known for advocating for increased weapons provisions to Ukraine, has faced threats due to his support for the war efforts. Rheinmetall has been actively involved in supplying military vehicles and ammunition to Ukraine, as well as establishing plans for production facilities in the…