"The municipality benefited from the company's billion-dollar profits via trade taxes, which flowed into its budget. In 2009, Weissach collected 20,000 ($23,000) in taxes per inhabitant. "Thanks to Porsche, in Weissach we have the highest per capita tax revenue in all of Germany," remarked then-mayor Ursula Kreutel gladly in 2011 at the opening of an extension of the Porsche facility."
"The hard times have arrived. Germany's automotive industry is in the deepest crisis of its history. At Porsche alone, profits tumbled about 96% in 2025. Other industries are also struggling. The tax revenue the municipalities greatly relied on has dropped rapidly. Even once prosperous cities and towns can no longer cover their expenses. "The finances of the local authorities are in a dramatic free fall," said Ralph Spiegler, president of the German Association of Towns and Municipalities (DStGB)."
Weissach previously enjoyed exceptional municipal wealth from Porsche’s billion-dollar profits, collecting €20,000 per inhabitant in 2009. The town funded family construction bonuses, cultural investments including a four-level library and an expensive concert piano, subsidies for private music lessons, and saved much of the revenue as a buffer. Germany’s automotive industry then entered its deepest crisis, with Porsche profits plunging about 96% in 2025 and other industries also struggling. Municipal tax revenues fell rapidly, leaving once-prosperous towns unable to cover expenses. Local authorities carry many daily responsibilities, ranging from trash collection to water supply, increasing budgetary strain as social costs rise.
Read at www.dw.com
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