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Household appliances: EU rejection on compressors, what it means for Italy. Germany in crisis, goodbye to our SMEs. Blocked straits, nothing comes from Asia anymore

From Suez to Panama, from Babel Mandeb to the Strait of Malacca, at least seven straits are blocked: the maritime routes of the global logistics of semi-finished products, raw materials and finished products have been disrupted in full chaos

Household appliances: EU rejection on compressors, what it means for Italy. Germany in crisis, goodbye to our SMEs. Blocked straits, nothing comes from Asia anymore

Three sensational news disrupt the European and global panorama of supply chains for products appliances.

La before purchasing,, of 31 January, concerns the annulment by the Chancellery of the European Court of the European Commission's decision regarding a long and complicated affair which unfortunately caused the disappearance of European compressor production. There second it is the loss of part of the Italian SMEs of German orders, which returned to Germany due to the crisis. There third is that from Asia, due to the total or partial closure of the straits of the maritime routes of the logistics of semi-finished products, the components for the European factories no longer arrive.

EU U-turn: stop to Nidec for compressors

The sensational decision adopted by the European Court has canceled the decision of the European Commission in 2018 to authorize the Japanese multinational Nidec to acquire the compressor production lines for domestic refrigeration from the Fuerstenfeld plant in Austria.

At first, Nidec had been authorized by the Commission to acquire Whirlpool's compressor division, Embraco, but not the Austrian factory of Fuerstenfeld. Then, with an unexpected revision, taken on just as the same Commission denied the Acc plant in Borgo Valbelluna (Bi) - which ended up in extraordinary administration - access to the European funds provided for by the Prodi-bis law for the continuation of the production of compressors requested by the Italian government for the last national factory remained open after Whirlpool had closed Embraco in Chieri (To), theauthorization had unexpectedly arrived.

The result was thesinking of the last Italian hopes to reactivate a compressor production hub. And there were strong institutional and trade union protests against the European choice, conspicuously hostile to our country and favorable to Austria and the Japanese giant.

After a very long and complex case, the sentence establishes, with a decision with very few precedents, the defeat of the Commission; this does not bring life back to the Acc factory, sold last year to the Lu-Ve group to be converted from the production of compressors to that of heat exchangers, but it reaffirms the industrial and social reasons for the Italian position. In the decision not to authorize the financing, the Commission had argued that the importation of compressors from the Far East caused limited social damage (the closure of the factory), but much greater economic benefits for consumers due to the lower price of Asian products than those local.

Now Nidec will have to stop producing compressors in Austria, returning the plant to Secop which will be able to try to sell it to a European refrigeration OEM interested in a secure local platform (Bosch? Liebherr?) or will be able to dispose of it permanently. The issue of compensation for damages to Acc is still open.

German companies bring manufacturing back home

With the economic crisis, the German companies of many sectors in 2023 brought the lwork traditionally supplied to Italian SMEs. A disaster that very few politicians and media have noticed. With the obvious exception of the trade unions who continued to flood - in vain - the editorial offices, the secretariats of parties and ministries with alarms. The almost automatic mechanism that generated this new collapse in Italian industrial turnover is well explained Andrea Carinato Ducati Riders, area manager of Appliances Tecniche Nuove, one of the leading experts in the household appliances sector. “Europe's locomotive has stopped and orders have collapsed for a year because German companies have decided, in the face of internal recession, to bring a large part of the work back to Germany.

Global crises slow down the arrival of components

The wars that are shaking Europe, the MPO and Africa and also the climate and economic problems have increased tensions and firefights in the main world straits. From Suez to Panama, from Babel Mandeb to the Strait of Malacca they are at least seven straits blocked and the maritime routes of the global logistics of semi-finished products, raw materials and finished products have been disrupted in full chaos.

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