Germany Faces Economic Recession Ahead of 2025 Election

Germany's upcoming federal election on February 23, 2025, is set against a backdrop of significant economic decline, with GDP contracting for the second consecutive year. The nation's industrial sector, particularly automotive manufacturing, is struggling to compete globally, facing fierce competition from China and high production costs, leading to job cuts and rising unemployment. Polls indicate that the Christian Democratic Union (CDU) is likely to emerge as the largest party, but with historically low support, while the far-right Alternative für Deutschland (AfD) is gaining traction. The political landscape is further complicated by a divided left and the fallout from the dissolution of Chancellor Olaf Scholz's coalition government. As parties prepare for the election, they present varying strategies on how to address the economic crisis, ranging from austerity measures to potential social benefits cuts. The election outcome could redefine Germany's role in the European Union and its internal political dynamics.