{"id":682662,"date":"2026-01-08T17:23:10","date_gmt":"2026-01-08T17:23:10","guid":{"rendered":"https:\/\/www.europesays.com\/uk\/682662\/"},"modified":"2026-01-08T17:23:10","modified_gmt":"2026-01-08T17:23:10","slug":"bankruptcies-of-large-companies-in-germany-surge","status":"publish","type":"post","link":"https:\/\/www.europesays.com\/uk\/682662\/","title":{"rendered":"Bankruptcies of large companies in Germany surge"},"content":{"rendered":"<p><strong>In 2025, there was a significant increase in the number of bankruptcy cases involving large companies in Germany.<\/strong><\/p>\n<p>According to a study by business consultancy Falkensteg, the number of large companies \u2013 defined as those with more than \u20ac10 million in turnover \u2013 going bankrupt has grown by about a quarter to 471 last year, <a href=\"https:\/\/news.az\/\" target=\"_blank\" rel=\"noopener\">News.Az<\/a> reports, citing<a href=\"https:\/\/brusselssignal.eu\/2026\/01\/large-company-bankruptcies-skyrocket-in-germany\/\" rel=\"nofollow noopener\" target=\"_blank\"> foreign media.<\/a><\/p>\n<p>Compared to 2021 the number of large-scale insolvencies has almost tripled.<\/p>\n<p>\u201cThe German economy does not just have a headache anymore, it has caught a fever,\u201d study author Jonas Eckhardt told newspaper Welt today. He added: \u201cFor many medium-sized companies this is no longer just a transitory economic slump, but a question of survival. The cyclical downturn is changing into a structural collapse.\u201d<\/p>\n<p>The study attributes the rise in bankruptcies to a mix of factors, such as a structural crisis of the automotive and mechanical engineering sectors, lagging consumption and geopolitical uncertainties.<\/p>\n<p>Positive impulses from <a href=\"https:\/\/news.az\/news\/germanys-mitt-elstand-slows-ai-investment-in-2025-study\" target=\"_blank\" rel=\"noopener\">Germany\u2019s<\/a> announced public investments programmes \u2013 financed with record-breaking debt issuance \u2013 have hardly been noticeable so far.<\/p>\n<p>Metal goods manufacturers accounted for most of the counted bankruptcies in 2025 with 65 cases \u2013 a plus of more than a third compared to 2024. Automotive suppliers are also significantly affected with 59 insolvencies.<\/p>\n<p>The biggest rise was seen in the electrical engineering sector where bankruptcies jumped by almost 77 per cent to 53 cases.<\/p>\n<p>The authors said they do not expect a turnaround for the coming year. According to the study: \u201cThe German economy will only recover slowly in 2026 because several structural brakes, such as creeping loss of competitiveness, a shortage of skilled workers, excessive bureaucracy and sluggish investment, will overlap.\u201d<\/p>\n<p>In 2026, large-scale insolvencies are expected to rise by another 10 to 20 per cent with the manufacturing industry \u2013 once the crown jewel of Germany\u2019s Wirtschaftswunder (economic miracle) \u2013 most at risk.<\/p>\n<p>The manufacturing sector is suffering from overcapacity and eroding profit margins. In addition, China\u2019s new five-year-plan, which is expected come out in February and emphasise self-reliance, might put additional competitive pressure on key German industries.<\/p>\n<p><a href=\"https:\/\/news.az\/\" target=\"_blank\" rel=\"noopener\">News.Az<\/a>\u00a0<\/p>\n","protected":false},"excerpt":{"rendered":"In 2025, there was a significant increase in the number of bankruptcy cases involving large companies in Germany.&hellip;\n","protected":false},"author":2,"featured_media":682663,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[5310],"tags":[903,51,2000,299,1824,106856,206860],"class_list":{"0":"post-682662","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-germany","8":"tag-bankruptcy","9":"tag-business","10":"tag-eu","11":"tag-europe","12":"tag-germany","13":"tag-insolvency","14":"tag-large-companies"},"share_on_mastodon":{"url":"https:\/\/pubeurope.com\/@uk\/115860642392975531","error":""},"_links":{"self":[{"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/posts\/682662","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=682662"}],"version-history":[{"count":0,"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/posts\/682662\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/media\/682663"}],"wp:attachment":[{"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/media?parent=682662"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/categories?post=682662"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/tags?post=682662"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}