After the first 100 days of the new federal government, Brandenburg's chambers of industry and commerce (IHKs) are drawing mixed conclusions. Although initial measures have been initiated, key expectations of the regional economy remain unfulfilled so far.

"The change of mood in the economy announced by Chancellor Merz has unfortunately already fizzled out. This already started with the inadequate electricity tax reform. Around 85 percent of our member companies will not feel any relief. The focus on selected energy-intensive sectors and agriculture is inadequate. And even for industry, it is just a drop in the ocean." This is what André Fritsche, Managing Director of the Cottbus Chamber of Industry and Commerce, says as spokesperson for the Brandenburg CCIs.

On the positive side, the CCIs note that the federal government has shown the ability to act in a short space of time and has provided initial impetus with the investment booster. "This can be an important support for some companies that are currently investing in structural change. However, it is not enough to strengthen the breadth of the regional economy," continued Fritsche.

The chambers are clearly critical of the continuation of border controls with Poland and the Czech Republic. "Smooth movement of goods and people is essential in our border region. The stricter controls lead to delays in supply chains, make it more difficult to deploy Polish and German specialists on both sides of the Oder and Neisse rivers and thus also weaken export-oriented companies and the logistics sector in particular. A situation that is unacceptable within the EU," warns Fritsche.

"The signal for the approximately 40,000 Polish employees working in Brandenburg is particularly devastating. Because border closures, even if they are temporary, leave their mark. European unification must not be paid lip service to in tense times. Trust and predictability are key factors in the labor market. Anyone who is unsettled once is reluctant to return. Especially as more Polish citizens are leaving Germany than moving here. This trend reversal will be further reinforced by these border controls."

Chamber of Industry and Commerce CEO Fritsche is calling for particular attention to be paid to SMEs: "Small and medium-sized enterprises, from food producers in the Spreewald to haulage companies in Oberhavel and civil engineering companies in the Uckermark, are fed up with inefficient, bureaucratic hurdles. A genuine reduction in bureaucracy can be more effective than new support programs. In order to limit the increase in new obligations, the federal government should extend the "one in, one out" rule to at least a "one in, two out" rule. This would automatically reduce bureaucracy. The German government should support the EU's simplification efforts and work to ensure that the reduction of bureaucracy is a top priority in the Council. The German government is taking the wrong approach here with projects such as the Collective Bargaining Act with its extensive obligations for companies to provide evidence. More trust in companies is needed and the Federal Chancellor should keep his word here in the coming years in order to turn things around."

From the perspective of the CCIs, the first 100 days show: impetus is discernible, but the hoped-for upturn for the economy in Brandenburg has not materialized. The decisive factor will be whether the federal government sets a structural course in the coming months – for more growth, competitiveness and trust between business and politics.
 

The state working group (LAG) is a cooperation of the three chambers of industry and commerce in the state of Brandenburg. It represents the interests of around 160,000 companies from industry, trade and services.