Connecting Europe

The German Chamber Network, or AHK, officially represents German economic interests abroad, developing bilateral contacts, helping German investors gain a local foothold and providing information on investment programs and legal parameters. New EU members and German trade partners have built up strong bilateral ties since the EU’s eastward expansion. Goods from Germany are in demand in Poland and the Czech Republic. And vice versa – Germany is importing products from eastern and central Europe in a big way. Now those countries, too, are struggling to weather the global financial crisis. MADE IN GERMANY’s new series chronicles how the German Chamber Network are mastering challenges in Romania, Poland, the Czech Republic, Hungary and Baltic states.

Part 1: Romania

Since the enlargement of the EU to include many former communist states in recent years, German firms have built strong ties with Eastern European countries. German products are in demand in Poland and the Czech Republic, while Germany imports a great deal from the region. Now many countries across Eastern Europe are struggling to cope with the economic crisis. Romania has been hit particularly hard, and has had to turn to the IMF and the EU for support. Its currency, the leu, has fallen sharply, while real estate prices and the construction industry are in freefall. What does this mean for German investors in Romania - and how are they adapting to these new conditions? We pay a visit to the head of the German-Romanian Chamber of Commerce. Michael Altenhenne reports.