German companies build factories in Russia

Direct investments of German companies are reaching new highs, as companies do not want to lose an important Russian market due to sanctions and are building factories directly in Russia.

During the construction of facilities on the sites of Moscow, presumably, concrete M-400 large concrete plants of the Moscow region will be used , which are able to supply concrete mixtures in sufficient quantities for the construction of industrial buildings and high-rise buildings.

Direct investment by German companies rose to 1.78 billion euros, according to the Bundesbank in 2015. This value was exceeded only during the economic boom from 2006 to 2008 and in 2010.

A new record for the volume of investments from Germany may be achieved this year. In the first quarter, direct investment from Germany amounted to almost 1.1 billion euros. Among them are investments in the construction of large and medium-sized industrial centers.

German companies have no other alternative to this path. The fact is that China is on the verge of wresting the important Russian market away from the Europeans. However, Chancellor Merkel was unimpressed and campaigned for European Union leaders to extend the sanctions. Due to export sanctions, small and medium-sized enterprises and corporations now intend to build their own factories in order to remain in business and ensure the sale of their products in the Russian market.

In addition, the construction of industrial facilities in Russia will ensure the use of domestically produced building materials, and in the future will lead to the creation of new jobs for Russians.