Skip to content

Stagnant Bergian Economy Remains Mired in Depth

Economic slump persists in Bergish region as of 2025, with no signs of recovery in sight, as per IHK assessment.

Stagnant Bergian Economy Remains in Depths of Slump
Stagnant Bergian Economy Remains in Depths of Slump

Scuffling Economy: Bergisch Region's 2025 Struggles

Stagnant Bergian Economy Remains Mired in Depth

As the clock ticks over to 2025, the Bergish economy remains in a slump, showing no signs of recovery. This is evident in the latest IHK-business climate survey, which saw participation from 542 companies and a total of 21,400 employees. The report reveals that 18% of companies view their situation as "good", 47% as "satisfactory", and a staggering 35% as "poor". Despite a marginal improvement—a single point increase from the previous survey—the business climate index still stands at a dismal -17. The economic condition in Remscheid, one of the Bergish metropolitan areas, remains significantly worse than in Wuppertal and Solingen.

This grim picture is largely due to the high-value manufacturing sector in Remscheid and the associated structural problems. "Owing to the lackluster economy, many companies are grappling with a poor order situation," remarks IHK President Henner Pasch. He highlights additional issues like international competition hindered by high energy prices, excessive bureaucracy acting as an unnecessary cost factor, and escalating labor costs, all of which have increased significantly due to last year's high wage agreements but with minimal productivity growth.

The outlook remains bleak, with only 17% of companies anticipating an improvement in their economic situation, while 27% foresee a deterioration. However, these predictions are slightly less pessimistic than in the autumn of 2024, offering a glimmer of hope for a turnaround. Companies look to the new federal government to resolve these pressing issues swiftly. Nevertheless, nearly two-thirds of the companies fear that economic policy framework conditions could adversely affect their business development in 2025.

Bergish Industry: In Deep Crisis

The Bergish industry commences the year in crisis mode. The weak economy and reduced competitiveness have contributed to a decrease in order inflows across numerous companies. This adversity also leaves its mark on the labor market. Industrial companies in the IHK district have shed around 2,800 jobs in the past two years, and one-third announce further job cuts.

In the wholesale trade, the poor business climate is a cause for concern, with every second trader worried about a downward spiral in 2025. Although the retail trade is relatively optimistic about a growth in sales for the year, the transport industry struggles under the weight of high fuel prices. The catering industry grapples with increased costs for goods and personnel, while the service sector manages better but still feels the impact of the overall situation.

The Challenge Ahead:The Bergisch region's economy in 2025 is fraught with difficulties for local businesses, primarily attributed to high energy prices, rising labor costs, and underlying structural issues. Energy-intensive industries, in particular, face diminished competitiveness. To address these challenges, initiatives like the FAB Festival—showcasing regional innovation in circular economy practices in late August 2025—point towards modernization efforts to improve resource efficiency and sustainability, essential for long-term economic viability. However, the immediate impact of escalating costs remains a significant concern for many businesses in the region.

  1. "Due to the struggling economy in the Bergisch region, many companies are facing a poor order situation in the sports industry as well, with reduced competitiveness leading to a decrease in inflows."
  2. "In an effort to improve resource efficiency and sustainability for long-term economic viability, various sports industry organizations are participating in the FAB Festival's showcase of regional innovation in circular economy practices."

Read also:

    Latest