Germany

A panel of executives at the Financial Times Commodities Global Summit held in Lausanne, Switzerland on Monday said that European oil refineries would have to adapt to energy transition by 2035 or risk closure. As legislation on electrification and the energy transition transforms energy markets, European refiners are facing a decline in demand for road-fuels. This is also driving an increase in investments in biofuels and other alternative fuels. In 10 years, most refineries would have either converted to biorefineries or to electric fuels, or switched to hydrogen fuels with low carbon content. Ruth Herbert, Director at Essar Energy Transition...

The German Foreign Ministry announced on Saturday that the embassy had temporarily been closed in Juba, the capital of South Sudan. This was due to rising tensions which have brought this East African nation to the brink of civil war. Salva Kiir, the president of South Sudan, sacked this week the governor of Upper Nile State, where escalating clashes between government troops, and an ethnic militia he claims is allied with his rival First Vice President Riek Makar, have taken place. The standoff has raised concerns that the world’s newest nation, which emerged from a civil conflict that claimed hundreds...

RWE, Germany’s largest utility, announced on Thursday that it would reduce investments by over a fifth through the end of this decade. The company cited uncertainty about renewable returns, as well as geopolitical risk and supply chain constraints. The company said that it would reduce its investments from 10 billion euros to 35 billion euros in 2030. It will also increase the return requirements on new projects. We have increased the requirements for future investment due to the higher uncertainty in the investment climate. Due to stricter risk management, and higher expectations of return, we will invest less through 2030...

Acciona's top management stated on Friday that it expects to see little impact of President Donald Trump’s energy and trading policies. It also outlined plans for asset sales up to $4.68 billion. Acciona Energy, like other European green energy companies has faced investors' difficulties. Unease The U.S. Renewable Energy Market is changing dramatically under the Trump Administration. In a conference call with analysts on earnings for 2024, Chief Executive Rafael Mateo said that "our exposure to the U.S. Energy Policy Volatility is very limited." Acciona had already acquired the necessary equipment in advance and secured tax incentives, he said at...

Uniper announced on Tuesday that it will pay the German Government 2.6 billion Euros ($2.7 billion) during the first quarter. The utility, which has been bailed out by the German government in Europe's energy crises, is now preparing to return to the stock exchange. In 2022, Uniper's total value was 13.5 billion euro. Sources have said that Berlin is preparing to sell its 99.12% stake as early as this year. Uniper, the German utility, is still in dispute with its former principal gas supplier Gazprom from Russia. Gazprom first curtailed and then suspended deliveries, bringing Uniper to the verge of...

Germany will hold an immediate national election on February 23 after the collapse of the three-way coalition led by Chancellor Olaf Scholz. The main political parties, their polling positions, and key policy issues are listed below: Parties Germany has two "big-tent" centrist parties: Scholz’s centre-left Social Democrats and the opposition Conservatives, an alliance between the Christian Democrats (CDU), and their Bavarian counterpart party, the Christian Social Union CSU. In recent years, smaller parties like the Greens or Alternative for Germany (AfD), a far-right party, have gained ground. All four parties, the SPD, Greens, Conservatives and AfD, have candidates running for...

The German economy ministry announced on Thursday that it will extend its trusteeship of the local subsidiaries of Rosneft, a Russian oil company, for a 5th time over a period six months. Rosneft is trying to sell off its German assets, including a 54.17 percent stake in PCK Schwedt. Rosneft, while still the legal owner of the entity, was stripped of its control when Berlin took over the entities after Russia's invasion in Ukraine in 2022. In a press release, a spokesperson from the Economy Ministry said that the federal government had decided to extend the trust administration beyond March...

Elliott Investment Management announced on Tuesday that it had built a stake in Phillips 66 of more than $2 billion. The company plans to push operational changes and the sale of its midstream business. Phillips 66 rose 5.8% on the morning market. In March, activist investor revealed a $1 billion investment in Phillips 66. The company then announced a performance-improvement plan to increase shareholder returns and share prices. Elliott stated that Phillips 66’s plan “failed to materialize and it is now evident that urgent change is needed” and that its share price has lagged behind that of rival refiners. On...

Germany will hold an immediate national election on February 23 after the collapse of the three-way coalition led by Chancellor Olaf Scholz. The main political parties, their polling positions, and key policy issues are listed below: Parties Germany has two "big-tent", centrist parties: Scholz’s centre-left Social Democrats and the opposition Conservatives, an alliance between the Christian Democrats (CDU), and their Bavarian counterpart party, the Christian Social Union CSU. In recent years, smaller parties like the Greens or Alternative for Germany (AfD), a far-right party, have gained ground. All four parties, the SPD, Greens, Conservatives, and AfD, have candidates running for...

Taiwan's Powerchip Technology hoped that by entering into a deal in 2015 with the city of Hefei, located in eastern China, to establish a new foundry it would gain better access to the lucrative Chinese market. Nexchip has emerged as one of the biggest competitors in the legacy chip market, after Beijing's call for localisation forced Powerchip into giving up its once lucrative business producing integrated circuits used on Chinese flat panel displays. Nexchip is one of the Chinese foundries that are gaining market share quickly in the $56.3 billion market for so-called mature or legacy node chips, made with...

Compass announced a 9.2% organic revenue increase in the first quarter, beating market expectations. The British catering group was able to benefit from strong demand for its canteens across North America and Europe. The largest food catering company in the world, which provides services to offices, hospitals, and universities on about 30 markets, has maintained its outlook for this year. The London-listed company has benefited from global companies requiring their employees to return to the office, which in turn boosts canteen spending. Employees who are cost-conscious often prefer to eat at home to more expensive external options. Karl Green, an...

Vestas of Denmark, the largest wind turbine manufacturer in the world, announced on Wednesday that its adjusted operating profit was higher than expected for the fourth-quarter, but warned about the uncertainty to come for 2025. The company stated that despite the ongoing geopolitical uncertainty and the trade war, it expects to see increased revenue by 2025 as a result of the completion of its record-high backlog. Vestas' analyst poll revealed that the average forecast was 672 million. The operating profit before special items increased to 759 millions euros from 191 million dollars a year earlier. The company forecasted a 2025...

Elliott, an activist investor, disclosed on Monday that he owned a stake in Germany's largest utility RWE of about 5% and called for it to increase its share-buyback program worth 1.5 billion euros ($1.6 billion). This is the first confirmation that Elliott – known for its high-profile campaigns with some of the biggest companies in the world, including BP – has a stake in RWE. Elliott, which has assets worth around $72.7 billion globally, also owns stakes in German companies such as Thyssenkrupp Uniper Bayer, SAP, and Bayer. RWE shares grew 2.3%. This was one of the largest gains among...

The German steel company Salzgitter stated on Friday that there is no end to the stagnation in the German economy and that exports are becoming more uncertain as tensions between the United States, its trading partners and other countries escalate. German steel has struggled with high energy costs, low demand, especially from the automotive, construction and mechanical engineering industries, and competition from China. The German economy is lagging behind, and this month the parties vying to form the next government proposed a package of spending that would create a 500-billion-euro ($541.70-billion) fund for infrastructure expenditures over a 12-year period. Salzgitter...

BMW's 2024 net profit fell by more than a third to 7,68 billion euros, in line with the market expectation, due to weak sales in China, Germany, and delivery delays caused by brake problems. It said that the premium carmaker expected its profit margins for cars to reach 5-7% by 2025. This is at best a small increase over last year's 6,3%. The company was anticipating intensifying wars in trade and continued tough competition in China. The carmaker's forecast includes all tariffs that were imposed on March 12th, including increased tariffs for U.S. Steel and Aluminium imports, and a 25%...

Scania, the Swedish truck maker and shareholder of Northvolt, a struggling battery manufacturer, announced on Monday that it had acquired an alternative supply for battery cells in an effort to diversify their supply chain. Northvolt, once regarded as Europe's top contender for the electric vehicle battery leader, filed for Chapter 11 bankruptcy protection in November last year and is now seeking to raise money and restructure their debt. Scania stepped up to help Northvolt run its flagship factory in northern Sweden, in order to improve quality and production at the electric car battery manufacturer. Scania, owned by Traton, and its...

A study released on Thursday showed that Germany has enough lithium reserves for its own needs over several decades. Berlin is trying to increase its production of electric vehicles and reduce its dependence on imports. According to the German Raw Materials Agency, Germany's lithium consumption could reach up to 0.17 millions metric tons annually by 2030. The German automotive industry imports lithium from Australia, Argentina Chile and China in order to meet its battery production requirements. Researchers and companies are exploring ways to extract the lithium byproduct from geothermal energy in Germany's Upper Rhine Valley, to increase domestic supply as...

Since returning to office in January, Donald Trump has issued numerous tariff threats. These range from a duty on all imports to a targeted tariff on certain sectors or countries. Trump's threats changed over time. This left other nations and business unclear as to what was next. It also created uncertainty for consumers and triggered a recent stock-market sell-off. Here's a summary of Trump’s threats and actions in relation to trade. BROAD TARIFFS Trump's vision is based on a gradual roll-out of tariffs that will apply to all U.S. imported goods. Last month, Trump asked his team of economists to...

German defence companies are looking for more capacity, as Europe prepares to increase military spending. They are also eyeing the struggling car industry. This is the first sign that a change could be coming in the direction of helping revive the continent's largest economy after two years contraction. Tank, radar and weapon manufacturers are looking to increase production in response to U.S. demands that Europe take responsibility for its own defense. Germany's carmakers, which have been the economic powerhouse of Germany for decades, are cutting jobs and closing plants due to a slowing market and a halting transition to electric...

German defence companies are looking for more capacity, as Europe prepares to increase military spending. They are now eyeing the struggling car industry. This is the first sign that a change could be coming in the direction of helping revive the continent's largest economy after two years on the decline. As Europe responds to U.S. demands to build its own defenses, manufacturers of tanks and radars are looking to increase production. Germany's carmakers, which have been the economic powerhouse of Germany for decades, are cutting jobs and closing plants due to a slowing market and a halting transition to electric...

Donald Trump has been in office since January 20. The United States has issued numerous tariff threats. These can be broad - such as a tariff on all imported goods from abroad - or targeted at certain sectors, countries, or regions to try and get them to comply with his demands. Trump's threats are constantly changing, and other nations and businessmen are unsure of what to expect next. Here's a summary of Trump’s threats and actions in relation to trade. BROAD TARIFFS Trump's vision is based on a gradual roll-out of tariffs that will apply to all U.S. imported goods....

Data from the industry showed that new car sales in Europe fell by 2.1% in January, as an increase in registrations of fully electric and hybrid electric cars in its major markets did not compensate for falling sales of petrol and diesel, according to Tuesday's data. The European Automobile Manufacturers Association's (ACEA) data showed that overall sales in France and Italy were down compared to last year. Only Spain recorded an increase year-on year among the top-selling nations. Why it's important After discussions with automakers and other interest groups, the EU executive will announce its plans for the auto sector...

Rheinmetall, Europe’s leading ammunition manufacturer, plans to convert two of its German automotive plants to make primarily defence equipment. This will highlight the impact of a surge in expected spending in the area amid U.S. concerns over the Ukraine War. Last week, the EU's political leaders were gathered at the Munich Security Conference to discuss their own defence strategy. The defence expansion of Rheinmetall affects its Berlin and Neuss factories, where it currently manufactures automotive parts. This business has been challenged as German carmakers struggle with high costs and foreign competition. According to the plans that are still being finalised,...

Investors who are betting on the German economy recovering, supported by a fiscal boost post-election and the possibility of a ceasefire in the Ukraine war, have piled into midcap stocks in Germany, which could prove to be the best long-term performers. The MDAX is a better barometer of any economic recovery spurred on by Sunday's elections than the internationally oriented DAX, which has soared this year due to the success of global companies like software maker SAP that are not as affected by domestic economic problems. If the outlook for the economy improves, which it is expected to do if...