The German transport sector continues to be under severe pressure amid a stagnant economy, rising costs and increasing bankruptcies. As noted in a new report by the European network of international freight forwarders ELVIS AG for the second quarter of 2025, the expected recovery has not materialized: industrial production in Germany fell by 6.9% in June compared to the previous year, with the sharpest declines recorded in mechanical engineering (-8.7%), the chemical industry (-7.6%) and the automotive industry (-4.8%).
According to ELVIS, the lack of loading capacity and rising personnel costs remain key issues. In July 2025, the ratio of freight to available transport on the domestic market was 12.2% higher than a year earlier, despite a temporary decline in the indicator during the holiday season. At the same time, average wages in the industry in the first quarter increased by 3.9% compared to 2024, which directly reduces the profitability of companies.
ELVIS CEO Nikola Grabowski called the developments a “serious wake-up call” for the industry and warned that short-term relief from seasonal factors would not change the overall trend. Despite moderate diesel prices and lower LNG costs compared to last year, labor and operating costs continue to put significant pressure on the market.