Leipzig-based LRV manufacturer HeiterBlick has completed its insolvency proceedings and resumed full production under new ownership by Polish rolling stock manufacturer Pesa Bydgoszcz, RailJournal.com reported. The German courts approved the lifting of the insolvency proceedings on August 26, marking the completion of a restructuring process that began in April 2025. Pesa completed its acquisition of 100% of HeiterBlick in July, securing around 250 jobs at the Leipzig plant.
German inflation rose in August on higher energy prices due to the Iran conflict, but the increase was less than expected and core inflation stabilised, easing concerns that price pressures from the war could spread more widely through the economy, Reuters reported. Inflation rose to 2.9% year-on-year from 2.8% the month before, preliminary data from the federal statistics office showed on Monday. Energy inflation drove the increase, rising to 10.5% in August from 8.3% in the previous month.
A traditional German upholstered furniture manufacturer has filed for insolvency, putting 85 jobs at risk in Sonnefeld, Bavaria. The company is facing financial difficulties amid challenging conditions across the upholstered furniture industry, InteriorDaily.com reported. According to Fränkischer Tag, owner Dieter Wolf has explained the reasons behind the insolvency, as manufacturers continue to contend with weaker consumer demand and broader economic pressures.
The insolvent bottle cap manufacturer SpieKo has stabilised its business operations. According to the insolvency administrator, production at the Olbernhau site is secured until at least the end of 2026. The search for an investor is running in parallel, Packaging-Journal.de reported. SpieKo Flaschenverschlüsse can continue to process, produce and dispatch existing orders. This is based on the current earnings and liquidity planning as well as the support of customers, equipment financiers and the house bank.
The number of unemployed people in Germany grew by 4,000 to 2.996 million, labour office figures showed on Friday, Reuters reported. The seasonally adjusted jobless rate remained stable at 6.4%. The overall unadjusted number of unemployed people remained over the 3 million mark for the second month in a row in August, rising by 36,260 to reach 3.061 million in total. Read more.
The German economy expanded more than previously thought in the second quarter. According to revised data from the Federal Statistical Office, gross domestic product grew by 0.3% from April to June compared with the first three months of the year. An initial estimate in July had put growth at 0.2%. Year on year, GDP increased by 1%, revised up from a preliminary estimate of 0.9% and up from a 0.8% in the first quarter. The revision suggests that the German economy is coping with the energy shock unleashed by the Iran war and the closure of the Strait of Hormuz better than expected.
Sebastian Lechner, the CDU state chairman of Lower Saxony, is calling for the European Union to quickly impose import tariffs on Chinese hybrid cars, a letter seen by Reuters on Friday showed. Lechner pointed to an OECD study showing that approximately 60% of the market share held by Chinese products abroad is attributable to subsidies, something he called a "distortion of competition" in trade policy. "We expect the European Commission and the German federal government to adjust our trade policy toward China," the politician said.
This content is reserved for Global Insolvency Members or members of the American Bankruptcy Institute. Create an account now to gain access. Enjoy free membership for a limited time.
Already a member? Login here.
A German kitchen manufacturer has filed for insolvency for the third time in six years, putting around 120 jobs at risk at parent company H. Frickemeier Möbelwerk GmbH in Hiddenhausen, Interior Daily reported. The company, Brigitte Küchen, applied for self-administration on 27 July, citing severe economic difficulties. Investor Steffen Liebich says disrupted business activity in the Middle East, particularly in Saudi Arabia, the UAE, Qatar and Bahrain, has sharply reduced demand as construction projects stall.
German auto suppliers are more indebted and spend more on interest than their international rivals as competition from China intensifies, according to excerpts from an upcoming study seen by Reuters. A financial analysis by Strategy&, PwC's German consulting arm, found that average interest expenses at Germany's leading auto suppliers rose for a fourth consecutive year in 2025 to 102% of operating earnings - far exceeding levels in the rest of Europe and China.