April 14, 2026 14:44

According to figures provided by TecPart, the German association representing manufacturers of technical plastic products, the downward trend in Germany’s plastics processing industry continued in 2025.

Turnover fell by 0.9% to €69 billion, or €650 million less than in 2024, with a sharper decline of 2.4% in the technical products segment, which recorded a contraction of around half a billion euros. The only segment to post slight growth was construction (+0.5%).

In any case, this was a more limited decline than in 2024, when plastics processors’ turnover fell by 4.3% to €69.7 billion, with a peak decline of 5.6% in technical plastic components.

“The economic conditions in Germany are eroding the production base more and more,” said Felix Loose, Chairman of the Board of TecPart. “What we need now, and will continue to need, are competitive energy prices, a noticeable reduction in bureaucracy, investment incentives, and forward-looking corporate taxation. Only then will we be able to turn things around.”

According to the association, only 16% of companies managed to improve profitability, due to falling sales and rising personnel costs. Fifty-two percent matched their 2024 results, in some cases by cutting costs and reducing headcount. Thirty-nine percent of German plastics companies had to reduce staff, bringing total employment down to 305,000, 2.6% below the previous year’s level.

The only positive note was a modest increase (+1%) in the amount of recycled plastic used in manufacturing; this led to a slight rise in recycled content, from 19.5% to 19.7%.

As for the current year, the war in the Middle East is creating an uncertain supply situation, with higher raw material prices further jeopardising the recovery that had begun to emerge in downstream sectors.

Overall, for 2026 TecPart expects the downward trend to bottom out, although a significant recovery may still take time. Macroeconomic indicators point to a slight improvement and, accordingly, sentiment in the plastics processing industry has also improved, albeit from a low base: no sector currently rates the situation positively, but more favourable momentum is expected over the next six months.

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