Southwest Companies Look Skeptically at Export Business - Southwest German Firms Prepare for Export Challenges, Eye Growth Opportunities
A significant number of firms in southwest Germany are preparing for a potential decline in exports, with the United States and the eurozone being the main areas of concern. Despite these challenges, many companies remain active in export markets and some even anticipate growth in certain regions.
A substantial 45% of firms in southwest Germany are bracing for a drop in exports to the United States. Meanwhile, 24% of companies in the region expect a downturn in eurozone exports. However, the United States continues to be a key market, with 21% of exporting companies expecting rising sales.
In the next twelve months, 28% of businesses in southwest Germany expect their exports to decline. Conversely, only 24% anticipate export growth. Looking at specific regions, 21% of companies in southwest Germany foresee increased exports within the eurozone. Furthermore, 18% of industrial businesses in the region predict higher exports to Central and South America. The Mercosur countries of Argentina, Brazil, Paraguay, and Uruguay, awaiting the ratification of the EU-Mercosur free trade agreement, present potential new trade opportunities for companies in southwest Germany. Notably, Bolivia is not part of this agreement. Despite these challenges and opportunities, 81% of industrial firms in southwest Germany remain active in export markets.
The export landscape for southwest German firms is complex, with potential declines in key markets balanced by opportunities in other regions. Companies are preparing for these changes, and the majority remain active in export markets, demonstrating their resilience and adaptability.
