Germany's industrial sector loses 15,000 jobs a month amid high energy costs and weak demand

Germany's industrial sector is shedding roughly 15,000 jobs each month, according to the head of the Federation of German Industries. The downturn is driven by soaring energy prices after the disruption of Russian natural gas supplies, sluggish global demand—particularly from China—higher interest rates in Europe and North America, and intensified competition from abroad.

Key manufacturing areas such as chemicals, steel, machinery and automotive are especially affected. The auto industry faces additional pressure from the shift to electric vehicles, where Chinese EV makers and U.S. technology firms are gaining market share, forcing German automakers to invest heavily in new technologies and production capabilities.

These combined stresses threaten the long‑standing role of German manufacturing as the engine of the European economy, raising concerns about future employment levels and the sector’s global competitiveness.