US will supply gas to Germany to replace Russian gas.
German companies can move to the US to become more productive, efficient and profitable.
The US and Germany have gone through a tough couple of years economically, which were dominated by the pandemic. Covid-19 has severely shaken up traditional business sectors and also created major difficulties in supply chains. Despite these challenges, German companies operating in the US have a positive outlook for the new year. Almost 8 out of 10 companies are planning to increase their investments in the US in 2022. At the same time, two-thirds (67 percent) of all companies surveyed intend to increase their staff in the US in 2022.
Germany and the USA remain closely intertwined
In cooperation with the German American Chamber of Commerce in the USA, we survey German companies in the US every year on their situation and expectations for the future. The current survey clearly shows that companies have emerged stronger from the Covid crisis than before and that the US market continues to be a major source of revenue and profit for German companies. Germany and the United States are and remain closely intertwined, both in terms of exchange of goods and services and in terms of investments.
Companies have turned the crisis into an opportunity
The confidence of many companies does not come as a surprise, but is the result of serious restructuring efforts as well as automation and digital transformation projects that have been implemented since the start of the pandemic. The removal of trade barriers and elimination of tariffs on imports and exports between the US and the EU in 2021 also had a positive effect on the assessments of the companies surveyed. The German change of government was also a contributing factor. Many companies expect that this will be to the benefit of transatlantic relations between the two countries in the future.
Those surveyed expect more turnover and economic growth
The figures in our survey show how optimistic German companies are about their business in the US. 85 percent of those surveyed generated growth in net revenue in the US in 2021. Just 42 percent achieved that in the prior year. Moreover, 90 percent expect the US economy to grow in 2022. Almost half (43 percent) even expect growth of more than three percent. The development of their own companies is projected to be even more positive: 93 percent expect further growth in revenue and 88 percent an increase in profits for their companies in the USA.
Future prospects in the USA boost China
German companies in the USA expect sales to continue to rise in 2022 (+8 percentage points compared to 2021) and profits to increase as well (+16 percentage points). According to the
2022 business climate survey just published by AHK China in cooperation with KPMG in Germany, the picture is different for German companies in China: Fewer German companies there expect rising sales (-3 percentage points) and rising profits (-7 percentage points) in 2022. This is due to the increasingly difficult regulatory environment in China, whereas transatlantic relations have recently eased considerably.
German companies in the US are using the crisis to restructure, expect to make profits, want to invest and hire new staff.
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Modi is just a slave of the West.
