{"id":1133407,"date":"2026-08-06T07:28:26","date_gmt":"2026-08-06T07:28:26","guid":{"rendered":"https:\/\/www.europesays.com\/uk\/1133407\/"},"modified":"2026-08-06T07:28:26","modified_gmt":"2026-08-06T07:28:26","slug":"low-water-levels-in-the-rhine-could-derail-germanys-recovery","status":"publish","type":"post","link":"https:\/\/www.europesays.com\/uk\/1133407\/","title":{"rendered":"Low water levels in the Rhine could derail Germany&#8217;s recovery"},"content":{"rendered":"<p class=\"wp-block-paragraph\">This summer\u2019s European <a href=\"https:\/\/sustainabilityonline.net\/tag\/heatwave\/\" target=\"_blank\" rel=\"noopener nofollow\" title=\"\">heatwave<\/a> may have an unexpected impact on <a href=\"https:\/\/sustainabilityonline.net\/tag\/germany\/\" target=\"_blank\" rel=\"noopener nofollow\" title=\"\">Germany<\/a>\u2018s economic recovery, with record-low water levels on the Rhine threatening to reduce the country\u2019s GDP this year, according to ING.<\/p>\n<p class=\"wp-block-paragraph\">According to Carsten Brzeski, global head of macro, <a href=\"https:\/\/sustainabilityonline.net\/tag\/ing\/\" target=\"_blank\" rel=\"noopener nofollow\" title=\"\">ING<\/a>, prolonged <a href=\"https:\/\/sustainabilityonline.net\/tag\/drought\/\" target=\"_blank\" rel=\"noopener nofollow\" title=\"\">drought<\/a> has led to significant disruption to one of Europe\u2019s most important industrial <a href=\"https:\/\/sustainabilityonline.net\/tag\/transport\/\" target=\"_blank\" rel=\"noopener nofollow\" title=\"\">transport<\/a> corridors.<\/p>\n<p class=\"wp-block-paragraph\">\u201cFor Germany, the Rhine is not simply one transport option among many,\u201d she said. \u201cIt is a piece of industrial infrastructure around which much of German industry was physically built.\u201d<\/p>\n<p>Key logistics channel<\/p>\n<p class=\"wp-block-paragraph\">Around 285 million tonnes of freight move along the Rhine each year, accounting for approximately 80% of all goods moved on Germany\u2019s inland waterways. The river also links three of the country\u2019s industrial clusters \u2013 Rhine-Ruhr steel, Rhine-Main and the Ludwigshafen chemical complex \u2013 with the sea, via the Port of Rotterdam.<\/p>\n<p class=\"wp-block-paragraph\">As ING noted, water levels at Kaub, a key shipping bottleneck on the Rhine, fell to 24 centimetres on 3 August, the lowest level since records began.<\/p>\n<p class=\"wp-block-paragraph\">\u201cWhen the Rhine runs low, the impact extends far beyond <a href=\"https:\/\/sustainabilityonline.net\/category\/supply-chain\/\" target=\"_blank\" rel=\"noopener nofollow\" title=\"\">supply chains<\/a>; it strikes at the heart of German industry,\u201d Brzeski commented. \u201cThe <a href=\"https:\/\/sustainabilityonline.net\/tag\/rhine\/\" target=\"_blank\" rel=\"noopener nofollow\" title=\"\">Rhine<\/a>\u2018s historic importance also means there are no real alternatives. Replacing a single barge can require up to 100 trucks or an entire freight train. And that\u2019s before taking into account Germany\u2019s well-known infrastructure challenges. Rail and road simply cannot provide a like-for-like substitute for Rhine transport.\u201d<\/p>\n<p>Previous drought<\/p>\n<p class=\"wp-block-paragraph\">He cited research from the Kiel Institute for the World Economy, which found that a month of low water during the 2018 drought reduced inland shipping volumes by around 25% and industrial production by approximately 1%.<\/p>\n<p class=\"wp-block-paragraph\">In terms of the effect on the German economy, the 2018 drought reduced the country\u2019s GDP by 0.3 percentage points, with this year\u2019s low water levels set to have a potentially bigger effect, due to record lows occurring earlier in the year.<\/p>\n<p class=\"wp-block-paragraph\">\u201cObviously, the economic impact now highly depends on the length of the current drought,\u201d said Brzeski. \u201cA week of heavy rain could change the economic picture for the better immediately \u2013 even if this currently appears unlikely to happen.<\/p>\n<p class=\"wp-block-paragraph\">\u201cUnless the German government finds a reliable rainmaker, we should prepare to see a repetition of 2018 with a negative impact of at least 0.3 percentage points of GDP growth. This comes as a big setback given that the German economy has grown for three quarters in a row and was on track to reach annual GDP growth of some 0.8% this year. A blow to the recovery but not enough to ignite recession fears.\u201d Read more <strong><a href=\"https:\/\/think.ing.com\/articles\/low-water-levels-and-the-german-economy\/?utm_campaign=August-04_low-water-levels-and-the-german-economy&amp;utm_medium=email&amp;utm_source=emailing_article&amp;M_BT=2021049509\" target=\"_blank\" rel=\"noopener nofollow\" title=\"\">here<\/a><\/strong>.<\/p>\n<p>\n\tRelated<\/p>\n","protected":false},"excerpt":{"rendered":"This summer\u2019s European heatwave may have an unexpected impact on Germany\u2018s economic recovery, with record-low water levels on&hellip;\n","protected":false},"author":2,"featured_media":1133408,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":"","_share_on_mastodon":"0"},"categories":[5310],"tags":[2000,299,1824,12,1828],"class_list":["post-1133407","post","type-post","status-publish","format-standard","has-post-thumbnail","category-germany","tag-eu","tag-europe","tag-germany","tag-news","tag-supply-chain"],"share_on_mastodon":{"url":"","error":""},"_links":{"self":[{"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/posts\/1133407","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/comments?post=1133407"}],"version-history":[{"count":0,"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/posts\/1133407\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/media\/1133408"}],"wp:attachment":[{"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/media?parent=1133407"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/categories?post=1133407"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/tags?post=1133407"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}