Seizing the Opportunity: Addressing India’s Container ShortageIndia’s current challenge of Cargo container supply gap is an opportunity waiting to be explored. India aims to reach exports of ~2 trln EUR by 2030, thereby increasing its share in global export to 10% (currently ~3%). In the last decade, India’s merchandise exports grew at an AAR of 5% reaching >400 bln EUR by 2022-23.To achieve the ambitious export goal, India is aggressively strengthening its manufacturing sector. In the past 5 years, India introduced several incentive schemes to increase domestic output, the most prominent being ‘Production Linked Incentives (PLI), targeting several strategic sectors. …
Global Manufacturing Footprint Stress Test
Global Manufacturing Footprint Stress TestIn today’s dynamic global market, manufacturers face a multitude of challenges that can erode their competitive edge. Geopolitical tensions disrupt established supply chains, forcing companies to reevaluate sourcing strategies. Shifting customer demands require rapid production adjustments, and rising labor costs combined with tightening markets squeeze profit margins. Additionally, fluctuating currency exchange rates and the implementation of tariffs add layers of financial uncertainty. These factors necessitate a comprehensive and regular review of existing manufacturing footprints.Beyond immediate costs, a fragmented footprint can also impede success. Organic growth plus Mergers & Acquisitions often lead to a complex network of …
China’s Evolving Consumer Landscape – Challenges and Opportunities for German Businesses
China’s Evolving Consumer Landscape – Challenges and Opportunities for German BusinessesThe German Chamber of Commerce in China (AHK) recently published an insightful article in their Summer 2024 Ticker magazine, exploring the dynamic landscape of China’s consumer market. While the market’s power remains undeniable, with consumer spending driving China’s growth, understanding the ongoing transformations is crucial for German businesses to thrive.The article features valuable insights from EAC Partners‘ Daniel Berger and John Deng, offering practical guidance for German companies. Their expertise can be invaluable for those looking to capitalize on the „New Normal“ in China.The report highlights the rise of local …
Aftermath of the EV hype – permanent dip, small dent, or no crisis at all?
Aftermath of the EV hype – permanent dip, small dent, or no crisis at all?The hype surrounding electric vehicles (EVs) in recent years has been undeniable, driven by a combination of environmental consciousness, government incentives, and technological advancements. However, as the dust settles, questions arise about the sustainability of this growth momentum and the long-term viability of the EV market.The surge in demand for EVs, accelerated during the COVID-19 pandemic, painted a rosy picture of exponential growth and high expectations. Ambitious targets, such as Germany’s aim to have 15 million EVs on the road by 2030, fueled optimism for a …
Challenges within the German Automotive Network
Challenges within the German Automotive NetworkThe German automotive industry, renowned for its precision engineering and collaborative spirit between manufacturers and suppliers, is facing a tumultuous period marked by rising tensions between the major automakers and their suppliers. The strained relationship has led to significant disruptions and financial losses. The situation underscores broader challenges within the industry, including heightened cost pressures, increasing complexity of vehicle components, and shifting market dynamics.At the heart of the issue lies a breakdown in the traditionally close-knit partnership between the major automakers and their suppliers. Instances of faulty or delayed components, ranging from brakes to batteries, …
Navigating the ‚New China Playbook‘: Insights from CMS-EAC Seminar
Navigating the ‚New China Playbook‘: Insights from CMS-EAC SeminarAmidst the ever-changing landscape of global business, the CMS-EAC Seminar convened industry leaders and experts at the German Centre to explore the intricacies of the ‚New China Playbook‘. Against a backdrop of geopolitical tensions and evolving economic realities, the seminar provided a platform for robust discussions and insights into the challenges and opportunities facing foreign enterprises in China.The seminar commenced with a warm welcome speech, extending gratitude to esteemed panelists and attendees for their participation. Dr. Gang Yang, President of Trumpf China, and Mr. Ingarsia, CFO of Schaeffler Greater China, were among …
EAC – International Consulting: Four Years Running as „Best Management Consultants“
EAC – International Consulting: Four Years Running as „Best Management Consultants“EAC – International Consulting is elated to announce its recent achievement, securing its place once again as one of the „Best Management Consultants“ by brand eins business magazine. This prestigious recognition marks the fourth consecutive year of acknowledgment, a testament to the firm’s unwavering dedication to excellence and its remarkable ability to drive client success. Year after year, since 2021, EAC – International Consulting has consistently stood out, earning acclaim and receiving the highest ratings for its exceptional service.At the heart of EAC’s continued success lies a dedication to exceeding …
German FDI Targeting China on New Heights
German FDI Targeting China on New HeightsGermany’s financial engagement with China has soared in recent years, reaching a record of approx. €12 billion in Foreign Direct Investment (FDI) from Germany to China last year, as a recent study form the German Economic Institute shows. This investment trend underscores the complexity of the relationship between the two economies, as German companies seek to capitalize on China’s vast market despite government calls to reduce dependence.Investment in China has raised concerns in Germany and across the European Union. The German government has urged large companies to reduce their reliance on China, citing the …
Quo Vadis? Snapshot of the pharmaceutical industry in Germany
Quo Vadis? Snapshot of the Pharmaceutical Industry in GermanyHigh electricity and gas costs have impeded growth in the German pharmaceutical industry. But now, for the first time in over two years, the gas price went to its level of 2021 as it went below 30 Euros per megawatt hour in March 2024. High electricity and gas prices have been hindering growth in the chemical and pharmaceutical industries as they depend highly on energy for their operations.The adoption of a comprehensive pharmaceutical strategy by the federal government in December 2023 has instilled newfound optimism among industry players, signaling a renewed commitment …
The Resurrection of Southern Europe
The Resurrection of Southern EuropeIn recent years, Southern Europe has emerged as a beacon of economic resurgence, with countries like Portugal, Greece, and Spain leading the charge. This revitalization stands in contrast to the economic landscape of Northern Europe, with robust growth rates exceeding 5% in 2022, a testament to the region’s resilience and potential. While challenges remain, particularly concerning the sustainability of the growth as well as structural impediments, the trajectory of Southern Europe’s economy offers a promising narrative of growth and transformation.One of the key drivers behind Southern Europe’s economic revival is the composition of its economy, which …
China Outlook for 2024: A Perspective from German Companies
China Outlook for 2024 A Perspective from German CompaniesIn the latest Business Confidence Survey (BCS) conducted by the German Chamber of Commerce in China, findings reveal a complex landscape of opportunities, challenges, and strategic shifts among German businesses operating in China. Conducted between September and October 2023, the survey engaged 566 member companies, offering a comprehensive insight into the German business sentiment within the Chinese market.Despite a slower-than-expected economic recovery with 52% of German companies that have been surveyed stated a decline in their industry, China’s importance to the German economy remains undiminished. As Germany’s most important trading partner for …