Leading German agency DPA notes that according to the estimates of consulting company EY, the fall in profits of the largest companies indicates the continuation of the negative trend in the German economy.
“The year 2025 was another crisis year for the German economy. It was especially hard for companies focused on exporting products,” said EY analyst Jan Brorhilker.
It is reported that the German economy is facing challenges due to low business activity, geopolitical tensions and increased competition from Chinese manufacturers. This situation is also affecting the labor market: 39 out of 100 companies surveyed reported layoffs in 2025. From January to September alone, 17.5 thousand people were laid off, and the total number of employees in the surveyed companies has decreased by 100 thousand people since 2023.
The crisis affected most of all chemical industry companies, whose production processes require significant energy costs. At the same time, technology companies, the military-industrial and financial sectors showed an increase in turnover.
