German Chancellor Friedrich Merz (CDU) has reportedly entered the debate on the future of the eastern German chemical sites of the US conglomerate Dow Chemical. As reported by the “Handelsblatt” citing government sources, Merz is said to have already held a conversation with the company’s CEO Jim Fitterling. “We can confirm the contact” said a spokesperson from the government. “Further talks will take place.”
Dow Chemical had previously announced at the presentation of its quarterly earnings in April that it might close down some of its sites in Germany. The focus now seems to be on the central site in the eastern German chemical triangle. The company cited overcapacity and high energy prices as reasons for the possible closures.
Before his election as Chancellor, Merz reportedly contacted Dow Chemical and stated that the new government would pursue a different course than its predecessor. The CDU, CSU and SPD have committed themselves to reducing energy prices as one of their first measures. The coalition wants to establish an industrial electricity price and abolish the gas storage levy. “Our goal is to achieve lasting low and predictable, internationally competitive energy costs” the coalition agreement of CDU, CSU and SPD states.
According to government sources, several legislative proposals have already been “introduced” to ease the burden on the industry. However, it is yet to be determined whether these will be discussed and approved during the next cabinet meetings.