US companies on road to success - Further reforms still necessary
The largest US companies in Germany – Topselling companies and largest employers
In relation to the previous year, nearly all US companies’ salesin Germany increased in 2006. Thus, the firms’ expectations were largely met: according to the results of the AmCham Germany Business Barometer from March 2007, approximately 80 percent of businesses surveyed expected an increase in sales revenues.
Ranking of the topselling companies
The oil group ExxonMobil Central Europe Holding GmbH, better known under the name of its sales branch Esso, tops the list of the TOP 50 US businesses in Germany this year with €17 billion in sales (including petroleum tax) in Germany. The automobile manufacturers Adam Opel GmbH (General Motors) and Ford-Werke GmbH also did well this year. They follow in second and third places with Opel’s sales reaching €15.6 billion and Ford’s reaching €15.3 billion. The businesses in the first three positions account for 31.7 percent of the total sales of the TOP 50 companies this year. In the previous year, Adam Opel occupied first place (€16 billion) and Ford-Werke was in third place (€14.3 billion).
Positions four and five are held, as they were last year, by GE Deutschland with estimated sales of €9 billion (4th place) and the IBM Group with an estimates €8billion in sales (5th place). In this case, a comparison of the sales figures with the previous year must be seen with regard to sales and acquisitions of assets.
The tobacco group Philip Morris achieved €6.9 billion in sales and is in sixth place. The petroleum group ConocoPhillips, usually known by its label JET, places seventh in the ranking with €6.8 billion in sales.
Ranking of the largest employers
Ten of the topselling businesses employ more than 10,000 people in Germany: McDonald's, Ford-Werke GmbH, Adam Opel GmbH, IBM Group, Burger King GmbH, Procter & Gamble, UPS, Coca-Cola, TRW Automotive GmbH, Johnson Controls GmbH.
Agenda for Reform: Germany as a Business Location
US businesses find themselves on the road to success. The volume of investment from US firms is higher here than in any other country and totals 130 billion Euros and directly creates 800,000 jobs. The migration and loss of US companies that was feared a few years ago has not occurred. Germany is an attractive business location for American firms. Many companies have relocated various business functions abroad, whereby the remaining functions here can work efficiently with interests abroad. European and global interdependence continues to grow and Germany stands in everstronger competition with other nations.
The American Chamber of Commerce in Germany welcomes the initiative of the German federal government wanting to use the second half of the legislative period to promote further reforms. Even though work conditions and working hours have become more flexible, only through further reforms will the creation of a true labor market be possible. The dismantling of barriers to employment should stand at the forefront: "More leeway with protection against dismissal and limitations, lower nonwage labor costs and the renunciation of minimum wages would create a real labor market and would dam up longterm unemployment," said Fred B. Irwin, President of AmCham Germany.
The planned transfer of functions regulations would result in a negative effect with the consequence of Germany following an isolated path on the international scene. Instead of following this, Germany should actively participate in discussions within the OECD working group, with the aim of efficiently reaching an internationally agreed proposal which should then be implemented accordingly by Germany.
It is necessary to actively utilize the present period of economic revival and also to address structural problems. Otherwise, the danger of an economic and social crisis exists with the next economic downturn. "The German Federal Government must be aware that it currently sets the course for a sustainable Germany in the coming years and decades," said Fred B. Irwin, President of AmCham Germany.
The complete salesranking list will appear in the October 26, 2007 edition of commerce germany, the member magazine published by AmCham Germany.
commerce germany is the official magazine of the American Chamber of Commerce in Germany e.V. This Englishlanguage magazine informs its readers about AmCham Germany’s activities as well as about developments that are important to the German-American economic partnership. The magazine was founded in 1920 and continues its long tradition. With a printing of 7500 copies, commerce germany distinguishes itself through its renowned readership which includes members of AmCham Germany as well as political and economic decision makers. Interested parties can find more information at www.amcham.de.
American Chamber of Commerce in Germany e.V.
With approximately 3000 members, AmCham Germany is the largest bilateral economic association in Europe. The Chamber acts as a communication bridge to investors in the United States. The promotion of the German-American economic relationship and Germany’s economic situation are at the forefront of our efforts.