"When prosperity falters, democracy falters too"

WELT "When prosperity falters, democracy falters too" Jan Dams, Andreas Macho, Karsten Seibel, Philipp Vetter, Cornelius Welp, Kevin Culina • 2 hours • 4 minutes reading time The WELT Economic Summit focuses primarily on the state of Germany as a business location. The top managers are making clear appeals to politicians for reforms. While Robert Habeck has to defend himself, Markus Söder is outlining the Union's plan for the first period after the election. Top politicians meet the business elite: The panel discussion at the WELT Economic Summit in the Axel Springer Tower The economy and migration were important topics at this year's WELT Economic Summit (WWG) in the Axel Springer Tower in Berlin shortly before the federal elections - and the focus was repeatedly on the United States and US President Donald Trump. Axel Springer CEO Mathias Döpfner opened the conference with an assessment of the current political situation in Germany: a deep recession, ideological energy policy and a "completely failed migration policy". His conclusion: "This country can no longer afford four years of stagnation under any circumstances." With the exception of Olaf Scholz (SPD), all of the candidates for chancellor came to the Axel Springer high-rise, from Friedrich Merz (CDU) to Robert Habeck (Greens) to Alice Weidel (AfD), to discuss the future of the country with more than 50 entrepreneurs, including a large number of the DAX bosses. "We have been promised reforms for years, and yet today we have a dilapidated infrastructure and are among the top group worldwide in terms of labor costs," Oliver Bäte accused the politicians. The Allianz boss thus represented a position that many guests expressed in a similar way in their comments. Wolfgang Fink, Goldman Sachs' Germany boss, appealed to a future government: "The priority must be to strengthen Germany's competitiveness so that the economy can grow again." Economics Minister Robert Habeck (Greens), who was primarily the target of criticism, took up the ball. "When we discuss supply chain law and sustainability reporting: Here we have to look closely at what really helps the environment and those affected and at the same time radically simplify things," he said. Habeck rejects criticism from car manufacturers He also referred to the United States as a model on another point. "State support in Germany is not competitive. We cannot give large tax credits like in the USA. Our fiscal rules ensure that the investments resulting from the tax advantages have to pay off in the same calendar year. I recommend doing it more like the Americans: investment bonuses.” He rejected criticism from car manufacturers that the former traffic light government was responsible for the industry’s problems with the sudden halt to subsidies for electric cars. “The fact that market share has been lost in China is not due to the elimination of the environmental bonus in Germany,” he said. A bonus only works on the European or German market. The Green Party’s candidate for chancellor did not hide what he sees as the cause of the weakness: the lack of focus on electromobility by domestic manufacturers. “The largest and most expensive company is Tesla – and it is not open to technology. They do not make hydrogen cars, nor do they make combustion engines. The company is now so valuable that almost all other automobile companies probably fit in,” said Habeck. Sahra Wagenknecht, on the other hand, does not see the future of the European automobile industry in a stronger focus on electric cars. “We are destroying one of our key technologies by banning combustion engines. In e-mobility, on the other hand, we are not competitive. Europe must rely on more fuel-efficient combustion engines as export hits," said the BSW party leader. Döpfner advocated constructive cooperation with the new US government. He warned against European or national solo efforts. "We need a transatlantic alliance of interests when it comes to security and economic and trade policy." FDP leader Christian Lindner called for a self-confident attitude towards the new leader in the White House. "US President Trump must be taken seriously, but not literally," he said. He is concerned with power interests and spheres of influence. "He will not be impressed by moral appeals, we must present our interests soberly and see that we come to a common denominator," said Lindner. Söder also outlined a plan for the first period after the federal election. "If the Union comes to power, we must immediately tackle the heating law, the citizen's allowance and the withdrawal of the legalization of cannabis," he said. "And when we start abolishing the supply chain law, everyone will notice that we are serious." The citizen's allowance in its current form "downright invites some people to do nothing." More work must be done in Germany again. "In football, it's like this: if you stop running after the 70th minute, you won't win the game. We have to face international competition." The energy policy of the traffic light government is "a disaster," said Söder. "Instead of allowing nuclear power to continue during the crisis, we are buying up nuclear power from all over Europe," said the CSU leader. Green hydrogen will not be competitive for years to come. "The expansion of renewable energies is right and important, but that will not be enough," said Söder. "We need a faster expansion of pipelines and networks, as well as gas-fired power plants capable of base load and a renaissance of nuclear energy." In addition, the European Green Deal must be "fundamentally changed." AfD leader Alice Weidel, in turn, spoke out in favor of a fundamental reform of the EU: "We want the EU to be where it makes sense. It makes sense if we have a strong reduction in competences and a free internal market," said the candidate for chancellor. "We are striving for a model of a European economic community. I have explicitly said that we do not want to leave the EU, but that we want to reform it." However, citizens must have the opportunity to hold a referendum on leaving the EU if the business basis for the community has ceased to exist. A counterattack came from Matthias Zachert, head of the chemical group Lanxess: "For us as an export-oriented company, leaving the EU would mean that we would have to cut thousands of jobs in the group. I also tell my employees that so that they can take this fact into account when making their voting decision."