German businesses are responding to higher energy expenses by delaying planned investments and exploring options to relocate production outside Germany, according to an annual survey published by the DIHK industry lobby on Monday.
The survey, which gathered answers from more than 3,000 companies, shows a broad rise in energy-related costs over the past year. Electricity prices rose for nearly half of respondents, while heating costs climbed for more than two-thirds.
Those cost increases are already affecting investment decisions. Roughly one-third of surveyed firms reported postponing investments because of expensive energy. Close to one-fifth said they were either considering reducing capacity in Germany, thinking about moving production abroad, or had already taken steps to do so.
DIHK President Peter Adrian framed the developments as part of a wider set of pressures. "It is concerning that high energy costs are now not only burdening ongoing business operations but also preventing future investments," Adrian said.
Impact on competitiveness and the energy transition
The lobby group's "Energy Transition Barometer," which measures how the transition to new energy systems is affecting competitiveness, registered a fall to -11.5 in 2026. That reading is three points lower than the previous year and represents the first decline since 2023. The barometer uses a scale that runs from -100, indicating a very negative impact, to +100, indicating a very positive impact.
DIHK pointed to several drivers behind the jump in energy costs. These included gas shortages linked to Russia's war on Ukraine, rising oil prices attributed to the US-Israeli war on Iran, and added costs connected with Germany's shift toward renewable energy sources.
On the transition, Adrian acknowledged corporate support for climate goals while warning about competitive disadvantages. "Companies support the goal of climate neutrality," he said. "At the same time, they face energy costs that are increasingly becoming a disadvantage in international competition."
Lobby group's recommendations
In response to the findings, the DIHK urged policy adjustments aimed at easing the burden on companies. The lobby group called for lower taxes on electricity, clearer rules for infrastructure development, and a reduction in regulation intended to facilitate business operations amid the energy transition and broader market pressures.
The survey results and the DIHK's recommendations reflect industry concern that sustained energy cost pressures are not only affecting current operations but could also hinder future capital allocation decisions within Germany.