According to the latest quarterly report from the VCI, the chemical and pharmaceutical industry in Germany remains under pressure.

As the quarterly report from the Verband der Chemischen Industrie (German Chemical Industry Association, VCI) shows, capacity remained below the profitability threshold in the third quarter of the year. The export business in particular is showing significant weakness and no sign of improvement in the short term. VCI Chief Executive Wolfgang Große Entrup described the situation as critical when presenting the report. Despite political measures, there is no sign of a turnaround. A fundamental breakthrough is necessary, otherwise the industry faces a further decline in Germany.
 
According to VCI figures, the negative trend continued in the third quarter of 2025, with industry turnover falling by 1.5 per cent compared with the previous quarter. According to the data, it stood at €52.1 billion, 2.3 per cent lower than 12 months earlier. Producer prices were also declining. Compared to the previous year, prices for chemicals and pharmaceuticals fell by 0.6 per cent. Companies also further reduced production: in the third quarter of 2025, it fell by 0.3 per cent compared to the previous quarter and was 1.5 per cent lower year-on-year. The chemical industry was thus only using 70 per cent of its capacity.
 
For 2025 as a whole, the VCI expects production in the chemical and pharmaceutical industries to stagnate at best, with the pharmaceutical industry partially offsetting the decline in the chemical industry. According to the current forecast for 2025, production in the chemical industry is expected to decline by 2 per cent and the industry's total turnover by around 1 per cent to approximately €221 billion.

 
Further informationen: The VCI's latest quarterly report is available on the association's website (in German).
 
Sources:

• VCI press release (11.11.2025)
• Photo: © VCI