Drought: Why Is the Rhine River so Important for the Swiss Economy?
Carriers have cut loads to as little as one-fifth of normal capacity as low water threatens to split the Rhine for commercial traffic.
- On Monday, the Rhine water level at Kaub dropped to around 16 centimeters, prompting Jens Schwanen, head of the BDB association of inland shipping, to warn the river may become impassable by week's end.
- Exceptional warmth in June and July, combined with retreating Alpine glaciers and declining snow cover, has exacerbated the drought; this marks the third major low-water episode in eight years.
- Germany relies on rivers to transport 5% of its goods, and The German Economic Institute now predicts a 0.4% drop in gross domestic product, effectively wiping out this year's expected 0.5% growth.
- Transport Minister Steffen Bilger announced measures last Thursday to shore up supply chains, including easing Sunday truck restrictions in Baden-Württemberg and coordinating with DB Cargo, the rail freight arm of Deutsche Bahn.
- IW economist Thilo Schäfer warned that a prolonged disruption "could completely stifle the tiny seed of growth we have," while the Federal Institute of Hydrology projects severe low-water events could strike every five to 10 years by mid-century.
20 Articles
20 Articles
Drought: Why is the Rhine river so important for the Swiss economy?
In landlocked Switzerland, the Rhine plays a strategic role in foreign trade and is a major driver of the country’s prosperity. But drought conditions this summer threaten shipping on the river. What then?
Low water on the Rhine drives the logistics costs for petrol and diesel. Especially in West Germany drivers already pay more.
Due to low levels, shipping traffic on the Rhine is severely restricted, which also affects the prices of fuel, which usually transports large tankers on the river. Tanks are currently particularly expensive in two federal states.
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Here you will find information on the topic "Sprit prices". Read now "Low water on the Rhine makes tanking more expensive".
Low water levels in the Rhine are putting pressure on shipping traffic and German growth.
Asian competition lacks oil, and the German chemical industry may soon lack water.
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