German pharmacies decline as sector warns of underfunding

05.05.2026, DPA

Photo: Hauke-Christian Dittrich/dpa

The number of pharmacies in Germany continued to decline at the start of the year, according to data released on Tuesday by the German Pharmacists' Association.

At the end of March, there were 16,541 pharmacies nationwide, 60 fewer than at the turn of the year, the association said. Since early January, 19 new openings were offset by 79 closures. The figures include both main pharmacies and branches, of which a pharmacy can operate up to three.

Hans-Peter Hubmann, head of the German Pharmacists’ Association, said the supply of medicine to the public remained secure, but warned the trend could not continue for long.

Every closure means longer distances for thousands of patients, he said, adding that the long-term decline was rarely due to individual mismanagement or increased competition, but rather what he described as chronic underfunding of pharmacies.

The sector has long called for an increase in a fixed dispensing fee from €8.35 ($9.75) to €9.50 per prescription package. A proposal by Germany's governing coalition was postponed due to pressure on statutory health insurers.

Health Minister Nina Warken has since said she intends to revisit the planned increase, while also preparing broader cost-containment measures as part of wider healthcare reform.

The financial situation of Germany's pharmacies is also expected to be discussed at an industry economic forum in Berlin on Tuesday.

(c) 2026 dpa Deutsche Presse Agentur GmbH

Western Europe corporate bankruptcies hit record high, analysis finds

05.05.2026, DPA

Photo: Hannes P Albert/dpa

Corporate bankruptcies in Western Europe rose to their highest level on record last year, underscoring the deepening impact of an economic downturn that is increasingly seen as structural rather than cyclical, according to a report by private German firm Creditreform.

The number of insolvencies climbed 4.8% year-on-year to around 197,610 cases in 2025, marking the fourth consecutive increase and the highest level since records began in 2002.

“The crisis is not only cyclical, it is structural. Weak global trade and geopolitical risks are weighing on European companies,” said Patrik-Ludwig Hantzsch, head of economic research at Creditreform. 

High energy costs and bureaucracy are also undermining competitiveness, particularly compared with the United States and China, he added. "This double burden is eroding the very foundations of many businesses."

A further increase in insolvencies is expected this year.

Hantzsch said the current level of bankruptcies in Western Europe exceeds that seen after the 2008–09 financial crisis. Although the pace of increase has recently slowed, insolvency levels remain elevated.

Diverging trends in Europe

The sharpest increase in the region was recorded in Switzerland, where cases jumped 35.3%, largely due to a legal change at the start of 2025 that tightened enforcement of public claims and lowered the effective threshold for insolvency.

Above-average increases were also recorded in Greece (+24.4%), Finland (+12.1%) and Germany (+8.8%). Germany, Europe's biggest economy, saw more than 24,000 insolvencies, the highest level since 2014.

By contrast, six countries — including the Netherlands, Ireland and Norway — reported declines. 

Insolvency trends varied across sectors, according to Creditreform. The sharpest increases were seen among service providers (+8.7%) and manufacturing (+3.6%), compared with trade and hospitality (+3%) and construction (+0.1%).

(c) 2026 dpa Deutsche Presse Agentur GmbH

EU approves €5bn in subsidies for climate measures in German industry

07.05.2026, DPA

Photo: Julian Stratenschulte/dpa

By Doris Pundy, dpa

The European Commission has approved German subsidies worth €5 billion ($5.9 billion) to assist businesses in the industrial sector in their efforts to reduce greenhouse gas emissions.

The "decision supports industry in making the shift to cleaner production while keeping a clear focus on efficiency and fairness," said EU Commission Vice-President Teresa Ribera on Thursday.

Under the scheme, financial support will be available to projects that involve "fundamental technological changes and replace fossil fuels or raw materials with low-carbon alternatives," the commission said.

Eligible technologies include electrification, the use of hydrogen or biomethane, carbon capture and storage, and similar innovations.

Aid payments will only cover the extra cost of switching to a cleaner alternative, and "if these become cheaper to operate, beneficiaries will have to reimburse the difference," the commission said.

State aid in the EU has to be approved by Brussels and is strictly regulated to ensure fair competition between companies from economically strong member countries and those from less affluent regions.

The plans by the German government show "how we can move forward on decarbonization while preserving a level playing field and ensuring that competition continues to work for Europe’s long-term prosperity," Ribera said.

Beneficiaries will be selected based on the cost efficiency of the planned technological changes, the commission said, which is "measured as the aid requested per tonne of avoided CO2 emissions."

Industrial sectors that are covered by the EU's emissions trading scheme (ETS) can be supported under the state aid scheme. These sectors include steel and other metals' production, plaster, glass, ceramics, paper, pulp, cement, lime and chemicals.

The European Union has set itself the goal to be climate-neutral by 2050, and aims to reduce net greenhouse gas emissions by 2030 by at least 55% compared to 1990 levels.

• Press release

(c) 2026 dpa Deutsche Presse Agentur GmbH

VW becomes largest shareholder in Tesla rival Rivian

06.05.2026 DPA

Photo: Sven Hoppe/dpa

Volkswagen has become the largest single shareholder in Tesla rival Rivian, according to a filing by the US electric vehicle maker with the Securities and Exchange Commission (SEC).

The German carmaker now holds a 15.9% stake in Rivian, surpassing early backer Amazon, which owns about 13%, according to recent reports. Amazon uses Rivian-built electric delivery vans for parcel deliveries.

Volkswagen's growing stake is linked to a joint venture with the US carmaker aimed at developing Rivian's electrical architecture for VW electric models. Volkswagen has committed to invest up to $5.8 billion in the partnership.

A key feature of Rivian's system is a so-called zonal architecture, which organizes vehicle functions by area rather than by individual systems. Traditional vehicles use separate control units for specific tasks, such as climate control.

Under Rivian's approach, multiple functions are consolidated, allowing a single computing unit to control features such as acceleration and window operation on one side of the vehicle. The design reduces complexity and wiring length, lowering costs. 

Tesla and several Chinese carmakers have also adopted similar zonal architectures.

Rivian is currently preparing to launch a lower-cost SUV model, the R2, in the US to boost sales. With its first two vehicles, Rivian's sales remain far behind market leader Tesla.

• SEC filing

(c) 2026 dpa Deutsche Presse Agentur GmbH

Profit down 80% at Germany's Daimler Truck as tariffs hit US business

06.05.2026, DPA

Photo: Bernd Weißbrod/dpa

By Robin Wille, dpa

Profit at Germany’s Daimler Truck fell 80% in the first quarter, the commercial vehicle manufacturer said on Wednesday, as weaker performance in North America weighed on results.

Net profit dropped to €149 million ($175 million) from €749 million a year earlier.

Revenue declined 13% to €9.98 billion, while operating profit (EBIT) fell 71% to €292 million from about €1 billion in the same period last year.

The DAX-listed company said financial results were primarily affected by lower profitability in its North American business.

The company, however, pointed to a positive dynamic in incoming orders, with order intake rising by 50% in the first quarter compared with the same period a year earlier. In the United States, orders recovered even more strongly.

"We are well positioned for continued improvement over the course of the year, even against the backdrop of a challenging first quarter," said Daimler Truck chief executive Karin Rådström.

"Global order intake increased by 50% year over year, fuelled by a strong recovery in the US, and this momentum will benefit our performance in the quarters ahead."

Weakness in the US market and lower bus sales recently contributed to another decline in deliveries at Daimler Truck. In the first quarter of this year, the company sold 68,849 trucks and buses worldwide, a decline of 9% year-on-year.

Profit at the under-pressure commercial vehicle maker fell 34% last year to €2 billion. US tariffs and weak demand in North America weighed heavily on the business. Revenue and vehicle sales also declined.

To become more competitive, the company launched a cost-cutting programme last year, aiming to reduce ongoing costs in Europe by more than €1 billion by 2030. In Germany, around 5,000 jobs are expected to be cut, with the Mercedes-Benz truck brand particularly affected. Cost reductions are also planned in North America.

• Daimler Truck release

(c) 2026 dpa Deutsche Presse Agentur GmbH

GERMANY

Continental subsidiary cuts 3,000 jobs globally

07.05.2026, DPA

Photo: Ole Spata/dpa\

Tyre and plastics technology group Continental wants to cut 3,000 jobs worldwide at its plastics technology subsidiary Contitech, including 1,600 in Germany, with the company and the IGBCE union reaching an agreement on the framework conditions, they said on Thursday.

The union said the deal amounted to a comprehensive transformation package.

The agreement governs the socially responsible reduction of about 1,600 jobs in Germany, the company said. Some of the affected activities will be relocated abroad. Redundancies for operational reasons are to be avoided until at least the end of 2030, IGBCE said.

Savings of €150 million

The cuts are part of the cost-saving programme Continental announced in November that calls for €150 million ($177 million) in yearly savings, starting in 2028. The company said jobs would be cut to achieve this, but had not previously given exact figures.

"We cannot prevent job cuts," IGBCE executive board member Francesco Grioli said in the statement, but the agreements would mitigate the impact on employees affected by the cuts. 

They would also create "prospects at German sites," he said, including investment commitments. "So for all the pain, the package is something to show for it."

Contitech said it would "make all measures as socially responsible as possible." The package of measures agreed includes a voluntary programme, early retirement arrangements and targeted placement of those affected into other jobs internally and externally.

(c) 2026 dpa Deutsche Presse Agentur GmbH

Porsche to close three subsidiaries, about 500 jobs affected

08.05.2026, DPA

Photo: Marijan Murat/dpa

Germany's struggling sports car manufacturer Porsche plans to close three subsidiaries as part of its efforts to "focus on its core business."

The affected units are battery specialist Cellforce Group, Porsche E-Bike Performance and the software subsidiary Cetitec , Porsche announced on Friday. 

About 500 employees are affected. Just two weeks ago, the company also announced its intention to sell its stake in the luxury sports car manufacturer Bugatti.

According to chief executive Michael Leiters, Porsche was being forced “to make painful cuts – including at our subsidiaries.” A timeline for the closures has not yet been specified.

Porsche eBike Performance was originally founded to develop e-bike drive systems. According to the statement, operations are being discontinued due to fundamentally changed market conditions. A total of about 350 jobs are affected in Germany and Croatia.

At the software firm Cetitec, around 60 employees in Germany and 30 in Croatia are affected by the planned wind-up. 

Leiters had already signalled additional job reductions during his first public appearance in March, on top of an initial cost-cutting package.

Around 1,900 jobs are set to be cut in the Stuttgart region by 2029 in what the company describes as a socially responsible manner. In addition, contracts for roughly 2,000 temporary workers have already expired. 

Negotiations over a second round of cost-cutting measures have been ongoing for some time but have yet to produce a result.

• Statement

(c) 2026 dpa Deutsche Presse Agentur GmbH

Industrial plant maker Festo to cut 1,300 jobs in Germany

08.05.2026, DPA

Photo: Bernd Weißbrod/dpa

The German industrial plant manufacturer Festo plans to cut about 1,300 jobs in the country. 

Market changes, increasing competition from Asia and geopolitical crises have posed significant challenges for Festo, the family-owned company announced on Friday. 

Faced by the tougher market conditions, the company is focusing on a global transformation programme to boost growth and efficiency, it said. To achieve the financial leeway required for the restructuring, Festo aims to streamline its structures in Germany.

The jobs are to be cut across various departments. 

“In consultations, the company and the works council are discussing how these job cuts can be implemented as responsibly and socially responsibly as possible,” Festo said in a statement.

Globally, the company aims to save €200 million ($235 million) annually. Jobs would also be cut abroad, chief executive Thomas Böck was quoted as saying in the Stuttgarter Zeitung and the Stuttgarter Nachrichten newspapers. 

Böck ruled out any site closures in Germany. 

The IG Metall union voiced strong criticism of the planned job cuts and said the news had taken the employees completely by surprise.

At the end of 2025, the company employed around 20,600 staff. Approximately 8,200 of them worked in Germany. 

However, the sluggish economic situation had weighed on the family-owned company’s business. Turnover fell by 3.7% in 2025 to around €3.33 billion, the third consecutive annual decline.

Festo specializes in control and automation technology for industry. The company’s products include devices that operate using compressed air, as well as software and AI systems.

Commerzbank plans 3,000 job cuts, warns against UniCredit plans

08.05.2026, DPA

Photo: Michael Brandt/dpa

By Jörn Bender, dpa and Steffen Weyer, dpa-AFX

Germany's Commerzbank plans to cut around 3,000 more full-time jobs across the group by 2030, the DAX-listed lender said on Friday, while warning against further proposed cost-saving measures.

The bank, which is facing a takeover approach from Italy's UniCredit, said the new cuts would come on top of previously announced savings measures, although jobs would also be created in growth and future-oriented areas.

However, the German lender warned against Unicredit plans to reduce staffing costs by a further €800 million ($940.8 million), noting in a presentation that this would entail a further 7,000 job losses.

“Such extensive job cuts would have a negative impact on our business in Germany," Commerzbank wrote.

Unicredit estimates the potential savings at Commerzbank at €1.3 billion by 2028. The Frankfurt-based bank describes this estimate as “very aggressive.”

For the cuts to take effect in 2028, they would have to be implemented within six months of a takeover in 2027. Commerzbank warned of high execution risks, and said the bank could face immense earnings losses in this scenario.

Commerzbank employed 39,867 full-time staff worldwide at the end of 2025.

In February 2025, Commerzbank announced plans to cut 3,900 full-time jobs by the end of 2027, with most of the reductions in Germany. At the same time, the bank said it intended to create new positions, particularly abroad, including at its Polish subsidiary mBank and at locations in Asia.

Additionally, Commerzbank reported stronger-than-expected first-quarter 2026 results, posting an operating profit of around €1.36 billion ($1.6 billion) and net income of €913 million, both roughly 10% higher year-on-year and above analyst expectations.

For 2025 as a whole, the Frankfurt-based lender reported a net profit of just over €2.6 billion, narrowly below its record result of around €2.7 billion in 2024, despite higher costs linked to ongoing restructuring.

Commerzbank raises 2026 outlook

Under its revised strategy, Commerzbank now expects stronger earnings going forward, targeting net profit of at least €3.4 billion in 2026, €200 million more than previously planned. It aims to increase this to €4.6 billion by 2028 and €5.9 billion by 2030.

UniCredit chief executive Andrea Orcel recently criticized what he described as Commerzbank's below-average operational performance over several years, warning that without a strategic reset, the lender's medium-term survival could be at risk. UniCredit reported a record quarterly profit of €3.2 billion for the first quarter of 2026.

The Italian bank, which according to recent disclosures holds around 30% of Commerzbank shares and plans to increase its stake via a share swap in the coming weeks, has also outlined a restructuring plan in the event of a takeover.

Commerzbank management, works council and employees have for months resisted what they describe as Orcel's "hostile" approach. The German government also opposes a hostile takeover. The state, which rescued Commerzbank during the 2008/09 financial crisis with billions in aid, still holds around 12% of the lender.

(c) 2026 dpa Deutsche Presse Agentur GmbH

German vaccine maker BioNTech to cut up to 1,860 jobs, close plants

05.05.2026, DPA

Photo: Sebastian Gollnow/dpa

By Bernd Glebe, dpa

German vaccine manufacturer BioNTech, which rose to global prominence with its Covid-19 vaccine developed alongside Pfizer, plans to close several production sites, with up to 1,860 jobs affected.

The Mainz-based company on Tuesday attributed the cuts to overcapacity and cost-cutting measures. The plans also extend to facilities tied to its recently acquired rival CureVac, as BioNTech streamlines its manufacturing footprint.

Sites in Idar-Oberstein, Marburg and Tübingen in Germany are scheduled to close by the end of 2027. Operations in Singapore are expected to cease in the first quarter of 2027.

BioNTech expects the measures to deliver recurring annual savings of up to €500 million ($580 million) once fully implemented in 2029. The funds are to be redirected towards the research, development and commercial rollout of cancer therapies, reflecting the company’s growing focus on oncology.

The announcement comes amid declining revenues from Covid-19 vaccines. 

In the first quarter, BioNTech reported revenue of €118.1 million, down from €182.8 million a year earlier, primarily due to weaker vaccine sales. Net loss widened to €531.9 million from €415.8 million, which the company attributed to higher spending on immuno-oncology programmes.

The group posted a billion-euro loss for 2025 as a whole, underscoring the financial impact of falling income and rising development costs. 

For 2026, BioNTech expects revenues of between €2-2.3 billion, while forecasting further declines in Covid-19 vaccine sales in both Europe and the United States. The company is preparing a variant-adapted Covid-19 vaccine for the 2026-27 immunization season.

Following its acquisition of CureVac, the company aims to submit multiple regulatory applications for oncology treatments by 2030 as it seeks to establish a stronger foothold in the cancer treatment market.

(c) 2026 dpa Deutsche Presse Agentur GmbH

Germany's Klingbeil says Canada 'ideal' partner amid global tensions

08.05.2026, DPA

Photo: Soeren Stache/dpa

German Finance Minister Lars Klingbeil called for closer economic cooperation with Canada on Friday, citing growing geopolitical tensions and the economic fallout from the conflict involving Iran.

Speaking during a meeting in Toronto with Canadian Finance Minister François-Philippe Champagne, Klingbeil said Europe needed to reduce strategic dependencies and strengthen its economic resilience and sovereignty.

It is becoming clear that Europe must move away from dependencies and strengthen its resilience and sovereignty, Klingbeil said. "And Canada is an ideal partner for this."

The two-day visit is focused on expanding cooperation in areas including critical raw materials, defence and artificial intelligence.

Klingbeil also sought to encourage greater Canadian investment in Germany, describing the country as an innovative business location made more attractive through reforms and investment incentives.

The two ministers also visited a facility operated by Canadian aircraft manufacturer Bombardier.

Champagne highlighted his recent participation in meetings of EU finance ministers and the Eurogroup, saying closer ties with Europe were intentional and reflected a shared interest in strengthening trans-Atlantic cooperation.

Klingbeil described Canada as a "partner in values."

(c) 2026 dpa Deutsche Presse Agentur GmbH

Reports: US DoJ investigating possible inside trading during Iran war

08.05.2026, DPA

Photo: Kenneth Martin/ZUMA Press Wire/dpa

The US Department of Justice (DoJ) is investigating a series of suspiciously timed transactions in the oil market that took place shortly before major policy announcements by President Donald Trump and top Iranian officials about the Iran war, US media reported on Thursday. 

The investigation involves at least four trades in which traders made a total of more than $2.6 billion by betting on oil prices falling before they did, reported US broadcasters ABC News and NBC News, citing people familiar with the matter.

The bets were reportedly placed shortly before new announcements by Trump or Iranian government officials. The Commodity Futures Trading Commission (CFTC), the federal agency responsible for commodity trading, is also involved in the investigation.

Four transactions worth billions

According to ABC News, traders bet more than $500 million that oil prices would fall in March shortly before the US president announced the postponement of threatened attacks on Iran's power grid. In April, there were three additional transactions that are now under investigation:

On April 7, traders reportedly bet $960 million on falling oil prices shortly before Trump announced a temporary ceasefire. On April 17, speculators bet $760 million on falling oil prices, 20 minutes before Iranian Foreign Minister Abbas Araghchi announced the reopening of the Strait of Hormuz.

On April 21, unidentified parties placed $430 million on falling oil prices, 15 minutes before Trump's announcement of an extended ceasefire.

A source told NBC News that the investigation was still in its early stages and that there is no evidence of criminal misconduct so far. In addition to the current probe, investigators also plan to examine suspicious activity on speculative trading platforms in a separate proceeding, also related to the Iran conflict.

Oil and gas prices have risen sharply on global markets as a result of the Iran war.

• NBC News report
• ABC News report

(c) 2026 dpa Deutsche Presse Agentur GmbH

Pope says arms trade being prioritized over 'respect for human life'

08.05.2026, DPA

Photo: Gennaro Piscopo/ZUMA Press Wire/dpa

Leo XIV has called on the faithful to work for peace on the anniversary of his election as pope. 

"The wars that are still raging in many parts of the world call for a renewed commitment – not only in economic and political terms, but also in spiritual and religious terms. Peace begins in the heart," said the head of the world’s 1.4 billion Catholics during a sermon in Pompeii on Friday.

Emphasizing the power of prayer, he said: "We cannot resign ourselves to the images of death that the news presents to us every day." 

To applause from the congregation, the Leo continued that "no earthly power will save the world, but only the divine power of love."

The pope said he has two particularly urgent concerns: the family, which is suffering from a weakening of the marital bond, and peace, which is being jeopardized "by international tensions and an economy that prioritizes the arms trade over respect for human life."

Crowds lined the Pope’s route through the streets of Pompeii. The Pontiff blessed children who were brought to him and greeted people in wheelchairs.

(c) 2026 dpa Deutsche Presse Agentur GmbH

Thousands of German school students protest against military service

08.05.2026, DPA

Photo: Michael Ukas/dpa

Tens of thousands of school students took to the streets across Germany on Friday to protest against a possible return to compulsory military service.

Rallies and demonstrations took place in dozens of cities under the slogan "School strike against mandatory military service," coinciding with the anniversary of the end of World War II on May 8. 

Police in Berlin said around 1,200 participants turned out in the capital to march from the Brandenburg Gate to the headquarters of Chancellor Friedrich Merz's conservative party, carrying signs reading: "Education instead of bombs" and "Berlin instead of the front lines." Organizers put the number at 5,000.

In the northern city of Hamburg, organizers said around 6,000 people took to the streets, while police counted about 2,300 participants.

The protests were not the first nationwide action against military service. In early March, around 50,000 young people participated in a school strike against conscription and compulsory service of all kinds in some 150 cities across the country.

Germany reintroduced a voluntary military service programme last year in an effort to raise troop numbers in response to Russia's war in Ukraine and new NATO targets.

The law, which took effect on January 1, aims to recruit volunteers to expand the armed forces. If recruitment targets are not met, however, parliament could decide to reinstate compulsory military service.

• Call to protest, in German

(c) 2026 dpa Deutsche Presse Agentur GmbH