The Belgian daily newspaper “DE STANDAARD” published an article on February 10, 2025, highlighting the massive challenges facing the German steel industry. Among those interviewed was Christian von der Crone, Managing Director of LÜLING, who provided insights into the critical situation affecting energy-intensive industries.
Rising Energy Costs and International Competition
As described in the Dutch report, the situation for German industry has deteriorated significantly. LÜLING consumes approximately 35 million kWh of natural gas and 7.5 million kWh of electricity per year—costs that have already surged by over 300% and continue to rise.
Christian von der Crone in the article: “We are caught between our customers’ demands for climate-neutral production and a government policy that lacks clear and reliable framework conditions. The competitiveness of German industry is at serious risk.”
While countries such as China and India continue to rely on cheap energy sources, German steel production is facing outsourcing threats, which could lead to significant job losses and disruptions in supply chains.
Hydrogen: The Great Unknown?
The Dutch report also highlights the uncertainties surrounding Germany’s hydrogen strategy. The German government has announced plans to establish a 9,000 km hydrogen network by 2032, but many critical questions remain unanswered:
- Will hydrogen be available in sufficient quantities and at competitive prices?
- How will the infrastructure be designed for energy-intensive industries like LÜLING?
- Who will bear the enormous costs of conversion?
Christian von der Crone: “Without a clear strategy and reliable cost planning, the transition to hydrogen remains a vision rather than a viable economic solution.”
LÜLING’s Future: A Call for Clear Decisions
As a key player in the wire industry, LÜLING is actively working toward sustainable solutions but urgently needs political clarity. The key takeaways from Christian von der Crone’s statements in the Dutch article emphasize:
- Energy costs must not suffocate the industry
- Germany must remain competitive
- Policymakers must act now