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Saxony's skilled trades warn of dangerous price spiral

Saxony's skilled trades warn of dangerous price spiral
Saxony's skilled crafts sector calls on the federal government to act. (Archive image) / Photo: Sebastian Kahnert/dpa
From: DieSachsen News
Rising raw material prices and weak demand are putting pressure on Saxony's skilled trades businesses. What the Handwerkstag is now demanding from politicians.

The ongoing war in the Middle East is a growing concern for Saxony's skilled trades sector. "A complex crisis is building up here. The federal government must now respond with a strategy that does justice to the complexity of the situation," says Uwe Nostitz, President of the Saxon Crafts Association. The high costs are putting pressure on companies' margins, while at the same time demand from the private sector is weakening.

The raw materials crisis is therefore driving inflation. The price of aluminum, for example, has risen significantly and companies are having to pass these increases on to customers. "This spiral is dangerous. Craftsmanship must remain affordable for the majority of the population," emphasized Nostitz. The federal government must also reduce taxes on fuel. "Reforms that quickly relieve the burden on companies would take some of the pressure off the boiler". This would apply to the areas of energy, social affairs and bureaucracy.

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