24 October 2024 – German Chancellor Olaf Scholz’s ignorance and forgetfulness are notorious. The fact that he is now also wilfully ignoring the driving force behind the German economy – small and medium-sized enterprises from industry and the skilled trades – is likely to cause his popularity to plummet even further. SMEs are certainly not welcome at his industry summit at the end of October.
How the German Chancellor is wilfully ignoring SMEs
German Chancellor Olaf Scholz wants to hold an industry summit at the end of October. According to German media reports, he had already announced a “pact for industrial jobs in Germany” and “a new industrial policy agenda”. Apparently much to the surprise of Economics Minister Robert Habeck (Greens) and Finance Minister Christian Lìndner (FDP).
The invitations to this ‘confidential discussion’ in the Federal Chancellery only went out after the Chancellor’s pithy words in the German Bundestag. To a very illustrious circle of associations dominated by heavy industry, trade unions and large corporations.
Only heavy industry wanted in the Federal Chancellery?
According to various reports, the Federation of German Industries (BDI) is on board, as are the German Chemical Industry Association VCI and the German Engineering Federation VDMA. However, the German Chamber of Industry and Commerce, the Association of Family Businesses and other associations characterised by medium-sized companies were apparently not asked. The German skilled crafts sector also seems to have been completely forgotten by the Federal Chancellery.
German steel oligopoly actively lobbies against SMEs
The Federation of German Industries, or BDI for short, has a prominent board made up of corporate leaders from 2/3 of the German steel oligopoly. And the fact that the steel oligopoly sees the entrepreneurial SME sector in Germany and Europe as an opponent was impressively demonstrated again yesterday, Wednesday, in the EU Parliament when the key debate on the topic of ‘Tackling the steel crisis: boosting competitive and sustainable European steel and maintaining quality jobs’ took place.
German economic policy unstable and unpredictable
The German Chancellor’s unilateral action has led to an outcry of indignation among small and medium-sized companies, which in recent days have once again voiced clear and above all justified criticism of Germany’s unpredictable and fickle economic policy and its rampant bureaucracy.
Mr Scholz deliberately ignores small and medium-sized enterprises
Mr Scholz is thus increasingly giving the impression that he would rather adorn himself with trade union bosses, corporate executives and association leaders than deal with the much more complex challenges facing small and medium-sized enterprises.
The German chancellor’s ignorance is notorious, just like his memory. Something similar can be observed with his bosom buddy Robert Habeck, who also prefers to bask in corporate high society and his (failing) lighthouse projects.
Overall, this behaviour, which can only be described as arrogant, is likely to have pushed the chancellor’s popularity ratings even lower. Olaf Scholz’s Industry Summit, which has already been labelled an election campaign farce, is now driving the electorate even further away from the SPD and the Greens.
Thorsten Gerber, CEO of the Gerber Group, commented: ‘The pipsqueaks still don’t seem to have understood who pays their salaries. It’s neither the large corporations nor the trade unions.’
Calls from the Gerber Group to do more for SMEs were ignored by the Federal Chancellor and answered by Team Habeck with an appalling inability to forward emails. Only the FDP-led Ministry of Finance was able to respond within a few hours – they immediately understood what was at stake. Emblematic of the state of the German government.
Latest news
- LME aluminium inventories down 33%
- Rising stainless steel prices expected in Taiwan
- Asian NPI prices climb to highest level in 2024
We at the Gerber Group have been trading in stainless steel worldwide for over 20 years. We are your experts when it comes to purchasing, import, logistics and services. Information is a vital part of this. Because only then can you and we make the right decisions. Do you have any questions? Contact us now.
Disclaimer: Many things here represent our opinion. Others are information from the Internet. We can therefore never claim to be correct or complete. And never base a business decision solely on the news you receive from us.
