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submitted 7 months ago by davel@lemmy.ml to c/worldnews@lemmy.ml

The cat is out of the bag. After months of denial, it is now conventional wisdom that Germany — and Europe more generally — faces deindustrialisation due to the end of cheap Russian piped gas. “Germany’s Days as an Industrial Superpower Are Coming to an End,” reads a headline on Bloomberg.

From London to Berlin, Western governments do not have a serious economic growth plan. Media outlets have started to admit this grim reality because there is no longer any point in denying it.

Privately, Americans shrug their shoulders and hint that this means they will no longer face competition from Europe. But watching the economy of your most dependable ally — not to mention a key trade partner — implode is not cynical Machiavellian statecraft: it is folly. American leaders talk about creating a new economic bloc which only includes “democratic” nations, only to dismiss the destruction of the European economy. It is obvious to everyone except the truest of the true believers: America has no strategy either.

America’s negligence of its core ally will likely lead to electoral tremors across the continent in the coming years. There is every chance that Europe will drift away from American influence and start to build pragmatic relationships with other countries. The big question is where this leaves Britain, which has much closer ties with the United States than the rest of the continent. It is a question that British leaders will have to ask themselves seriously moving forward.

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[-] freagle@lemmygrad.ml 7 points 7 months ago* (last edited 7 months ago)

https://www.vdma.org/viewer/-/v2article/render/81411795 shows a net 10% decrease in orders across the entire machinery and plant engineering sector as of June 2023, but that net comes from an increase in domestic orders of 9% and decrease in global orders of 18%. It also indicates that there were over 30% fewer orders from all of Europe. Meanwhile, https://www.kloepfel-consulting.com/supply-chain-news/maerkte/vda-umfrage-automobilindustrie-deutschland-6566823/ shows that, in May 2023, in a survey of 128 automotive industry companies, 0% planned to increase their investment in Germany with 27% planning to shift their investments out of Germany. And here we have evidence that total energy consumed in Germany dropped 8% in 2023, mostly because of high energy industry doing less.

here’s evidence as of July 2023 that it was already happening, and here we see their economy faltering in an analysis from Sept 2023.

this post was submitted on 10 Mar 2024
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