After the break of the traffic light coalition in Berlin, the IHK Heilbronn-Franken fears that the already ailing industry in the region will come under further pressure and warns that planned relief for the economy should be implemented quickly and reliably.
The economy in the Heilbronn-Franconia region views the break in the traffic light coalition with concern. In particular, Chancellor Olaf Scholz‘s plan not to ask the vote of confidence until January 15th, thereby clearing the way for possible new elections, is putting additional strain on the economy, according to IHK General Manager Elke Döring. “We have to assume that important relief measures from the federal government’s growth package can no longer be decided and implemented in time to help companies,” says Elke Döring, citing, for example, the planned subsidies on network fees or purification of the supply chain law. “And the uncertain budget situation is not helping to restore companies’ confidence in economic policy.”
“Chancellor Olaf Scholz wants to ask the question of trust far too late,” said the President of the Heilbronn-Franken Chamber of Industry and Commerce, Kirsten Hirschmann: “In this time, which is so challenging for the German economy, we quickly need domestic political stability as well as reliable decisions to relieve the burden on our companies – and no more hang-ups. Companies need to know what to expect in the coming weeks and months.”
In this context, Elke Döring refers to the latest economic survey by the Heilbronn Chamber of Industry and Commerce for the third quarter of 2024. The dramatic loss of trust in politics was further consolidated. Almost half of the companies surveyed (42 percent) now see the economic policy framework as a business risk. “And this in a situation in which the economic situation of companies is already worse than it has been since the beginning of the Corona crisis due to a lack of orders, high costs and bureaucracy.”
According to Elke Döring, industrial companies in particular, as the region’s growth engine, are facing the greatest challenges in their history: “In addition to the digital transformation, the growing pressure from China and the expected restrictions of a Trump administration, there are massively deteriorating location conditions. The traffic light coalition was not expected to provide economic relief. However, their disruption must not lead to a situation in which there is no movement in the foreseeable future when it comes to energy costs, reductions in bureaucracy and taxes. Our companies are running out of time.”
Like DIHK President Peter Adrian, IHK President Kirsten Hirschmann also appeals to the government and Bundestag’s sense of responsibility not to block or delay laws to relieve the burden on the economy in the transition phase until the new elections.
For Kirsten Hirschmann, herself an entrepreneur with 60 percent export share, another point is crucial: “Our region lives from exports. However, the export business only works if our companies can operate from a stable political environment. Right now they can’t do that.”
