Plans to expand your international footprint?

The chemical & plastics industry in the Leipzig Region

Germany is the world's fourth-largest economy (World Bank, 2019) and the largest economy in Europe. It is highly industrialised, diverse and stable, offering many opportunities and long-term potential for UK businesses who produce innovative, quality products.

In 2020, over 3,000 firms with more than 320,000 employees were active in the German plastics industry, achieving annual sales of EUR 61.5 billion, making Germany the largest plastics market in Europe. The local plastics industry consists of three main pillars: processing, machinery, and materials. About 70% of Germany's plastics machinery is exported. German industry is highly receptive to innovative high-quality products.

Environmental and sustainability concerns mean that the EU is pushing towards more plastics recycling. As of now, recycling capacities across Europe, including in Germany, are limited. According to EU planning, 11 million tons of plastics should be recycled every year by 2025, compared to today's 5 million tons annually. Recycling solutions, equipment and auxiliary services are urgently needed.

In Germany, agents are rarely used - companies prefer to do business with a German entity. In an industry where production standstill can cost a fortune, fast response time is essential. Preference is therefore often given to a locally established business.

If Germany is a market of interest, and to help continue ease of access to the single market, companies should consider a satellite base in Germany. Leipzig, located in the heart of Europe in the Central German Chemical Triangle, with the entire material cycle in the region, giving you key supply chain access. Research at the Frauenhofer Centre and Leipzig University has established Leipzig as a location for research, recycling best practices and offers you a talent pipeline. The Leipzig region is also an automotive hub, with BMW and Porsche plants, an established logistics, and a growing tech and green energy smart hub. Attractive non-refundable grants of up to 30% are available for eligible companies.

Invest Region Leipzig is an economic development agency with a base in London that can support you with your expansion plans.

Our services are bespoke, free, confidential and include:

• Initial consultation
• Overview of opportunities in Leipzig and the region
• Identify and help access funding
• Company set up
• Support with recruitment and office/R&D/warehousing facilities

Contact your 'local partner'
Bindiya Verma
UK Representative,
Invest Region Leipzig GmbH
E-Mail: [email protected]
www.invest-region-leipzig.com