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Business

Foreign Investment Sets New Record

According to a survey of 7,500 firms by the German Chambers of Industry and Commerce, foreign investment will reach a record high this year. Four out of six companies asked said they planned on investing abroad and possibly moving parts of their production to a foreign country. The reasons behind the foreign investment enthusiasm are the continued growth of the global economy as well as high costs at home. For more than a third of survey respondents, the desire to cut wage and other costs is an important driver toward foreign shores. Most German firms have their eyes on other countries in the European Union, although China is in second place. Industries that are most likely to invest or move abroad are the classical export sectors, including automotive, electronics, chemicals, medicine and control engineering.

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