Deep recession

How blue-black is now supposed to save the economy

The industry is in recession and a third year in a row should be avoided.(Bild: reneknabl.com)

Industry has favored an FPÖ-ÖVP coalition from the outset, but now it may be imminent. The Federation of Austrian Industries is now campaigning for key measures and is also calling for a pro-European stance. Agenda Austria boss Franz Schellhorn hopes that structural reforms will finally be tackled due to the tight budget situation.

Domestic industry has already been in recession for two years. Value added fell by a further 4.5 percent in 2024, while unemployment in the manufacturing sector soared by 17.8 percent. Major bankruptcies of well-known industrial flagships such as KTM are increasing uncertainty. Investments in the location are declining.