Why Are Companies Leaving Europe?

BSH (Bosch, Siemens) has decided to shut down its factory in Spain, which employs 650 people, causing panic among European policymakers.

The EU wants to take measures against well-known companies that are halting production and relocating their factories elsewhere.

A member of the European Parliament from Spain said:

"The situation is truly very concerning. This was a company that had proven its sustainability. It produced a product that served the rest of Europe and Spain because 80% of the products from this company were marketed in Spain. And now, due to relocation, the company has decided to shut down."

It is reported that the factory closed in Spain may be relocated to Poland or Turkey, and BSH's decision is not an isolated case. Companies like Audi, Volkswagen, and ArcelorMittal are also undergoing relocation processes.

Because in Europe, there is political instability, high energy prices, economic uncertainty, and Donald Trump’s trade tariff wars. In this situation, there is a lack of strategic autonomy. These companies are seeking lower labor costs and better access to raw materials.

In Europe, whose economy has started to shrink with recent crises, it is suggested that the regulatory and tax framework be simplified to support production, innovation, and competitiveness.

Source: Euronews Türkçe