Facts/Figures and Sectors

Industry and Market Overview

With one of the lowest unemployment rates and an export rate of 55.4 % the German state of Rhineland-Palatinate is one of the most dynamic economies of Germany. Chemicals, automotive, metal production and metals products, mechanical engineering and also food and beverage manufacturing sectors are the pillars of the state’s economy. The state has developed several industrial clusters among which the most prominent are Commercial Vehicle Cluster, Metal and Ceramic Cluster and the most exciting up-coming sector is the one of renewable energies and energy efficiency.


Economic structure in manufacturing sector of the Federal States, 2016 share of gross value added in current prices in %

State

in %

Baden-Württemberg

40

Saarland

36

Bavaria

35

Rhineland-Palatinate

34

Thuringia

34

Saxony-Anhalt

33

Saxony

32

Lower Saxony

31

Germany

30

Bremen

28

North Rhine-Westfalia

27

Brandenburg

27

Hesse

24

Schleswig-Holstein

24

Mecklenburg-West Pomerania

22

Hamburg

18

Berlin

15

Source: The Regional Accounts (VGRdL), 2017

 
   

Export ratios of the Federal States 2016 (except city states; companies with more than 50 employees)

State

in %

Baden-Württemberg

57.0

Rhineland-Palatinate

55.4

Bavaria

53.9

Hesse

52.2

Saarland

49.7

Germany

49.6

Lower Saxony

47.6

North Rhine-Westfalia

46.0

Schleswig-Holstein

42.4

Saxony

39.5

Thuringia

34.0

Mecklenburg-West Pomerania

33.4

Brandenburg

31.5

Saxony-Anhalt

29.9

Source: Federal Statistical Office Germany, 2017

 

Structure of the Industrial Sector in Rhineland-Palatinate 2016

In terms of turnover and employment, the chemical and pharmaceutical industry is the most significant branch of the Rhineland-Palatinate industrial sector. With an annual turnover over 30 bn EUR in 2016, the branch accounts more than 35 % of the total turnover of the state and with more than 59,000 employees for more than 22% of all the employed people in the manufacturing sectors. 

In second place among the highest-turnover branches of industry ranks automobile construction, which achieved a turnover of more than 14 bn EUR in 2016 and employed more than 28,000 people in the same period. The development of this branch of industry in Rhineland-Palatinate is supported by the Rhineland-Palatinate Automotive Suppliers Initiative (www.auto-rlp.de) and the Commercial Vehicle Cluster (www.cvc-suedwest.com). 

In 2016 mechanical engineering occupied third place in terms of turnover with around 9.4 bn EUR and second place in terms of the number of employees with more than 39,000 people.


Ten largest sectors of manufacturing industries by employment 2016 for companies with 20 and more employees

Sector

Number

Chemicals and pharmaceuticals

59,065

Mechanical engineering

39,535

Metal production, metal products

36,994

Automotive

28,436

Rubber and plastic products

24,832

Food and beverages

24,335

Office and EDP equipment, optics

16,061

Glass, ceramics, and mineral processing

15,986

Paper, publishing and printing

12,219

Furniture and other goods

8,293

Source: State Statistical Office Rhineland-Palatinate, 2017

 

Ten largest sectors of manufacturing industries by sales 2016 for companies with 20 and more employees

Sector

in EUR million

Chemicals and pharmaceuticals

30,397

Automotive

14,105

Mechanical engineering

9,389

Metal production, metal products

8,115

Food and beverages

7,509

Rubber and plastic products

5,797

Paper, publishing and printing

3,332

Glass, ceramics, and mineral processing

3,538

Office and EDP equipment, optics

2,893

Furniture and other goods

1,385

Source: State Statistical Office Rhineland-Palatinate, 2017

 

At Home in Rhineland-Palatinate: Global Players and Hidden Champions

In the heart of Europe, in Rhineland-Palatinate, they make their home: powerfully active, world-renowned companies on the one hand, and traditional, medium-sized firms on the other — the Hidden Champions. Globally active businesses with their headquarters in Rhineland-Palatinate include BASF in Ludwigshafen, Boehringer Ingelheim on the Rhine, and Schott in Mainz. But other firms operating on a global scale also feel at home here in Rhineland-Palatinate for example Mercedes Benz with its commercial vehicle plant in Wörth and Abbott Laboratories in Ludwigshafen.

Hidden Champions such as Wirtgen, a manufacturer of road construction machinery, are also based in Rhineland-Palatinate, as are the high-tech bicycle manufacturer Canyon; the wine-logistics company Hillebrand, which is recording dream growth rates with the export boom in German wines; the family company Schiffer, with the well-known Dr. Best toothbrushes; or the brand Griesson - de Beukelaer.


This mix of companies is the key to the state's success. With an export ratio of 55.4 percent, the Rhineland-Palatinate economy traditionally occupies a leading position in Germany. Not least to thank for this are the state's small and medium-sized companies, which operate successfully on the worldwide markets. The radius of action of the Rhineland-Palatinate economy of course includes neighboring European countries such as France, as well as the United States. In recent years, trade has rapidly developed with Central and Eastern Europe, as well as with South and East Asia in the form of India and China.


A selection of the largest employers in Rhineland-Palatinate

A SELECTION OF THE LARGEST EMPLOYERS IN RHINELAND-PALATINATE

 

Company

Location

BASF SE

Ludwigshafen

Daimler AG Mercedes Benz Werk Wörth

Wörth/Germersheim

Boehringer Ingelheim GmbH

Ingelheim

Debeka Gruppe

Koblenz

Schott AG

Mainz

ZDF Zweites Deutsches Fernsehen

Mainz

TRW Automotive GmbH

Koblenz

Adam Opel AG, Werk Kaiserslautern

Kaiserslautern

Adient Components Ltd. & Co. KG (former Johnson Controls)

Kaiserslautern

KSB Aktiengesellschaft

Frankenthal

AbbVie Deutschland GmbH & Co. KG

Ludwigshafen

Borg Warner Turbo Systems GmbH

Kirchheimbolanden

Stabilus GmbH

Koblenz

Michelin Reifenwerke AG & Co. KGaA

Bad Kreuznach/Trier

United Internet AG

Montabaur

Wirtgen Group

Windhagen

Schütz GmbH & Co. KGaA

Selters

BOMAG GmbH

Boppard

RENOLIT SE

Worms, Frankenthal

Juwi-Gruppe

Wörrstadt

ThyssenKrupp Rasselstein GmbH

Andernach

Lohmann GmbH & Co. KG

Neuwied

Bitburger Braugruppe GmbH

Bitburg

Papier-Mettler KG

Morbach

GRIESSON de Beukelaer GmbH & Co. KG

Polch

Faurecia Innenraum Systeme GmbH

Hagenbach

Klöckner Pentaplast GmbH & Co. KG

Montabaur

Source: Own Research (Date: 2017)