German chemicals lobby lifts 2026 sales forecast, but warns recovery remains elusive

VCI, which represents around 2,000 chemical and pharmaceutical companies, now expects the sector’s turnover to grow 3.5% this year, up from its September forecast of 2.5%. The increase is driven entirely by higher producer prices rather than stronger production volumes, the association said.

VCI said the temporary boost from supply disruptions tied to the Iran war had faded, and described the industry’s situation as stabilising at a low level. Managing Director Wolfgang Grosse Entrup said many large chemical companies earn profits outside Germany, while firms at home delay investment, cut capacity and shed jobs. He urged Berlin to address energy costs, bureaucracy and competitiveness.