Innovations: German industry lags behind in high-tech research internationally
Germany is falling behind in cutting-edge technologies, according to the Ifo Institute. The country is focusing too much on traditional industries and is missing out on future fields.
A study by the Munich-based Ifo Institute finds that Germany's industrial research spending is lagging behind in high-tech sectors. Only 20% of Germany's industrial research spending goes to high-tech industries such as pharmaceuticals, chip production, and aerospace, compared to 68% in the US and 46% in France. Germany's focus is on traditional industries, and its high-tech share has decreased from 32% in 1995 to 20% in 2023.
If Germany's high-tech research spending were to match the international average of 38%, it could lead to a 0.9% higher annual GDP growth per capita in the medium term.
Written by urgent.news from Handelsblatt's report — not a translation of it. Machine-written — may contain errors; check the original before relying on it.
