Material shortages and higher costs are creating headwinds for the majority of German companies, a survey by Germany’s DIHK Chambers of Industry and Commerce showed on Thursday, potentially complicating their recovery from the coronavirus crisis.
The survey of 3,000 firms across all sectors found 83% of companies were complaining about price increases or supply chain bottlenecks for raw materials, intermediate products and goods.
“Shortages of raw materials and supply chain problems are hitting the German economy across the board,” Volker Treier, DIHK’s head of foreign trade, said.
“The current development may noticeably complicate the economic recovery process after the crisis,” he said, adding the pre-crisis level of gross domestic product might not be reached before mid-2022.
Photo: EC – Audiovisual Service