Nikolas Stihl, the head of the chainsaw manufacturing company Stihl, has wanted that Germany may be on the verge of deindustrialisation as surging costs — pushed by the energy crisis — and other factors are affecting entrepreneurs.
According to Mr Stihl, chair of the Stihl Group Advisory and Supervisory Board, Germany could be at a tipping point that could lead to deindustrialisation in the country as it becomes less and less attractive as a location for industrial manufacturing and other businesses.
“The danger of deindustrialisation cannot be dismissed out of hand,” Stihl told German media and added, “The German location could eventually reach a tipping point with a strong negative impact on the willingness to be entrepreneurial in this country,” the newspaper Die Welt reports.
Stihl noted that while Germany is a relatively expensive place to do business, companies have been able to manage but noted, “the developments in the area of bureaucracy, the cost burden, the lack of investment, which we urgently need – this leads to the fact that the location conditions in this country are getting a little worse every year.”
“We are not renewing our infrastructure enough, building too little and not innovative enough. We are watching as the most important competitors in the world – such as the US and China – overtake us left and right,” he said.