German Chemical Sector Sees No 2026 Recovery

The VCI lobby reported a 6% drop in quarterly production and declined to issue a full-year outlook due to regional instability. While some firms saw temporary gains from supply chain shifts, the group warns that high energy costs and transport disruptions will likely prevent a sustained recovery.

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Germany's chemical lobby VCI reported a 6% drop in quarterly production on Friday, May 29, and warned against recovery hopes for 2026.

Sales fell 5.4% as energy and transport costs linked to the conflict in Iran weighed on the sector.

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