German chemical lobby VCI sees no sector recovery before 2026
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Jul 17 2025
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Source: Reuters
Industry Outlook: Germany's chemical industry, including pharmaceuticals, does not anticipate a recovery before 2026, despite a halt in the rapid decline seen in recent years. The sector reported a slight sales decrease of 0.5% in the first half of 2025, with production down 15% compared to pre-crisis levels in 2018.
Government Response: In response to ongoing challenges such as high operational costs and global economic weakness, the German government has introduced fiscal measures, including a €500 billion infrastructure fund and a €46 billion tax relief package aimed at stimulating the economy through 2029.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
