Germany’s industrial sector is facing a deepening structural crisis, with production and value-added output stagnating since 2018.
The economy is currently shedding approximately 15,000 industrial jobs every month, a trend that is impacting major manufacturing hubs including Bosch and Volkswagen.
This decline stands in stark contrast to the performance of the defence and energy sectors.
Following the four-month military campaign against Iran, defence contractors, energy companies, and investment banks have recorded significant profit growth.
The conflict has upended global markets, creating a clear divergence between traditional manufacturing and war-related industries.
The economic winners of the recent geopolitical instability have emerged clearly, with capital flowing toward sectors benefiting from heightened security spending and energy volatility.