The mechanical and plant engineering industry considers the 130 billion euro package to stimulate the economy in Germany to be fundamentally correct.
8 June 2020
(Image: SFIO CRACHO/Shutterstock.com)
The mechanical and plant engineering industry considers the 130 billion euro package to stimulate the economy in Germany to be fundamentally correct.
„The package can have a broad impact, which is why it must not be talked about now,“ emphasises VDMA President Carl Martin Welcker.The Grand Coalition is on the right track with the economic stimulus package, to give positive impetus to the economy.
Carl Martin Welcker, VDMA President (Image: VDMA)
„It contains many good approaches, such as the Reduction in value added tax, that broad-based consumer promotion can achieve. Even if individual points in the legislative process still need to be more targeted, the package prepares the ground for tackling the tasks ahead of us with optimism. We see many important Setting the course for sustainable future investments. As an innovative industry, we are pleased that the coalition has at least temporarily lifted the cap on the Tax incentives for research has doubled to four million euros per company.“ Carl Martin Welcker, VDMA President
The temporary introduction of the declining balance amortisation is fundamentally positive for the mechanical engineering sector. It is also positive that the issue of loss carry-back is being addressed.
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„I am counting on the measures to trigger a broad-based innovation push, especially in the area of Investments in climate technologies and digitalisation. The future comes from Germany and Europe!“ emphasises Welcker.
It is crucial that the state wants to support investments in the expansion of 5G and artificial intelligence as well as a charging infrastructure for electric cars. The announcement that the National hydrogen strategy is an overdue step. However, the mechanical engineering industry would have liked to see more here. 3 to 5 gigawatts would be achievable by the middle of this decade if the right framework conditions were in place. Great opportunities for P2X technologies „made in Germany“ - i.e. the conversion of green electricity into other energy sources - arise from the intention to establish foreign trade partnerships with other countries.
With the Capping of social security contributions and the announcement that the period for which short-time working benefits will be paid will be extended in autumn if necessary, the difficult situation on the labour market is also being taken into account, adds the VDMA President. „The coalition remains called upon to clear the way for new hires by making labour law provisions more flexible. Our innovative strength is based on our employees.“
