According to a new Allensbach survey, strategic options in Germany have largely been exhausted
94 per cent of German energy-intensive companies consider it likely that other companies in their sector will relocate from Germany, with more than half (56 per cent) considering it very likely. This is shown by an Allensbach (https://www.ifd-allensbach.de/studien-und-berichte/sonntagsfrage/gesamt.html) survey of board members and managing directors of energy-intensive companies commissioned by the consultant FTI-Andersch (https://www.fti-andersch.com/).
Difficult competition
The economic situation in Germany remains tense. One in three companies is reducing particularly energy-intensive products, and one in five is relocating individual production steps abroad or is currently preparing to do so. Many business and technological measures to ensure competitiveness have already been implemented, according to the survey.
According to the companies’ assessment, this means that after optimising efficiency, own electricity, long-term contracts and cost control, there are only a few strategic options left in Germany. ‘The reality is that in the current situation, most companies have no choice but to undertake even more significant transformations,’ says Karsten Schulze, board member and partner at FTI-Andersch.
Debt capital as a challenge
More than half of energy-intensive companies (56 per cent) report strong or very strong competitive pressure from non-European suppliers, who often benefit from lower energy prices, government subsidies or less regulation. As a result, 91 per cent of companies are investing in automation and digitalisation, while two-thirds (66 per cent) are relying on specialised engineering solutions.
According to the survey, 20 per cent of companies report difficulties in accessing debt capital. Where this is the case, 77 per cent are postponing investments and 47 per cent have recently cut jobs or are now planning to do so. In addition, 83 per cent see their planning capabilities as having deteriorated, the majority of them significantly. 43 per cent of industrial companies are strongly or very strongly affected by increasing global protectionism.
Regardless of the current survey (https://www.ifo.de/publikationen/2025/aufsatz-zeitschrift/mindestlohnerhoehung-wirtschaftsflaute), 22 per cent of companies in Germany want to cut jobs due to the upcoming minimum wage increase, writes the ifo Institute (https://www.ifo.de). On 1 January 2026, this will be increased to €13.90. In addition, more than a quarter of them (28 per cent) expect to invest less. Every second company affected plans to raise prices. Respondents also cite declining profits and a difficult competitive situation.
