Economic Crisis Hits Bretten and Oberderdingen Amid Russian War Economy Collapse
The economic crisis leads to job losses in German regions Bretten and Oberderdingen, while Russia's economy suffers a deep collapse amid war-related tax hikes and inflation.
- • Companies in Bretten and Oberderdingen like Neff and Atlas Copco face severe challenges and job losses.
- • Only 4% of Russian companies view the business climate positively, a 10% decline since December 2025.
- • One-third of Russian companies report falling demand linked to higher taxes and VAT increase from 20% to 22%.
- • 31% of Russians struggle to afford food amid a 30% rise in prices over two years, despite Kremlin downplaying the crisis.
Key details
The ongoing economic crisis is severely impacting regional employment in the German towns of Bretten and Oberderdingen, while Russia's economy faces deep distress under war conditions.
In Bretten and Oberderdingen, key companies such as Neff, Atlas Copco, and Blanc & Fischer are struggling amid the downturn, with job losses reported. Analysts highlight concerns that short-term cost-cutting measures may cause long-term declines in prosperity. The local debate centers on viewing the economic cycle as both a challenge and an opportunity for restructuring and sustainability.
Meanwhile, Russia’s war economy is collapsing under the strain of the Ukraine conflict. A survey by the Russian Union of Industrialists and Entrepreneurs shows only 4% of Russian firms see the business climate positively, a 10% fall since December 2025. One-third of companies report decreasing demand, attributed in part to increased taxes such as the VAT rise from 20% to 22%, aimed at generating an additional €13 billion for the Kremlin’s war effort. This financial squeeze contributes to hardships, with 31% of Russians struggling to afford food amid a 30% rise in essential goods prices over two years.
Despite the economic hardships, the Kremlin downplays the crisis's scale, with accusations of manipulating inflation data to mask the war's true impact.
These developments illustrate how the global economic pressures and regional conflicts resonate locally and internationally, straining businesses and livelihoods across both Germany and Russia.
This article was translated and synthesized from German sources, providing English-speaking readers with local perspectives.
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