He Rise of the far right in Germany is the result of how populism has capitalized on disastrous economic situation which runs through the country. German industrial production has been in free fall for more than a year, leading to a downward revision of growth forecasts.
The professor of economics at the CEU San Pablo University Rafael Pampillon explains that when voters “lose patience, they vote to the extreme“. “We have had negative growth for two years now. “It is an economy in recession,” he said.
Sales of passenger cars fell by almost 28% in August, a percentage that rises to 69% for electric cars, according to the Federal Motor Vehicles Office. Santiago Carbó, professor of economic analysis at the University of Valencia, assures that this is due to the fact that electric cars come from China “have a lower cost“, which forces traditional companies to “reduce their capacity”.
Volkswagen It is even considering closing several factories to deal with the crisis. Without having been able to adapt to technological developments and the arrival of artificial intelligence, what was the economic engine of the continent leaves Europe facing a major challenge.
“This economic model based solely on Germany must change and perhaps it needs major European car manufacturers. But they must be European, and not just German or French, in the areas of energy, banking and telecommunications,” says Carbó. In short, Germany must start changing its industrial model before the 2025 elections.
