Kärcher CEO Hartmut Jenner Warns of Perfect Storm Facing European Industry
European industry faces a toxic convergence of geopolitical instability, aggressive foreign state subsidies, and restrictive domestic bureaucracy, according to Hartmut Jenner, CEO of German cleaning equipment manufacturer Kärcher. Writing in an exclusive opinion piece for Euronews, Jenner warned that Germany and the broader continent are navigating a perfect storm
that threatens to dismantle the region’s manufacturing base.
Geopolitical Pressures and Global Trade Imbalances
Jenner pointed to two external pressures undermining European competitiveness. First, unpredictable trade policy from the United States constantly threatens sudden tariff hikes and trade barriers, creating a volatile environment for export-oriented firms. Second, the rapid technological rise of China has transformed the global market. Jenner stated that China is no longer merely a low-cost manufacturer, but an aggressive technological competitor outpacing European industries in strategic sectors. This success stems from targeted state industrial policies, massive subsidies, and a currency policy artificially focused on competitiveness that generate severe overcapacity and market distortions, making fair global competition virtually impossible.
Deindustrialization and the Crisis in Germany
At home, the consequences of these global pressures are materializing rapidly. Jenner, who has led Kärcher since 2001 and tripled its staff and turnover, stated that deindustrialization is no longer an abstract concept. Plant closures and production relocations across the automotive and manufacturing sectors mark a critical turning point for the German economy. Despite Kärcher investing heavily in research and development—employing more than 1,000 workers globally in R&D and generating nearly €3.5 billion in turnover in 2025—rising structural and labor costs make new production facilities and jobs in Europe barely economically viable. Jenner argued that forecasted economic growth of 1.3% is an artificial boost driven by government debt, defense orders, and subsidies rather than a self-sustaining recovery in private investment.
Call for Bureaucratic Reform and Pragmatic Labor Policies
To reverse this downturn, Jenner urged the German government and the European Union to implement a real fitness programme for Germany. He criticized excessive regulation from Brussels to Berlin, claiming it hinders investment and suffocates the courage to embrace change. He called for a move away from bureaucracy and back to a can-do mentality, including less regulation, more personal responsibility, ambitious investment incentives, and reliable framework conditions. Furthermore, Jenner argued for a determined trade policy to restore a functioning free-trade environment.
