Topic 1 Lesson 2 Handout 4

Important Industrial Areas Page 1 And Mineral Resource Locations

Industrial Areas Coal is an industrialized country. The important The largest hard coal deposits are in the Ruhr region industrial areas are: and in the Saarland. As a result of a crisis in the Ger- man steel industry coal production decreased from • The Ruhr region, including the areas around Dues- 71 million metric tons in 1990 to 26.4 million metric seldorf and Cologne tons in 2003. • The area around Frankfurt • The Mannheim/Ludwigshafen area Oil • Stuttgart and the Neckar Valley Oil is extracted primarily in an area between the • The / region Weser and Ems rivers, as well as northeast of • The Dresden/Chemnitz region Hanover, south of Leipzig and in the Alpine foothills. • The region around Leipzig/Halle Oil’s contribution to energy supply fell from 55 per- • The territory around Cottbus cent in 1973 to 38.5 percent in 2001. However, judg- Following the reunification of East and West Ger- ing by the proportion of primary energy consumption many, there have been significant changes in the it makes up, oil is still Germany’s most important fuel. importance of individual business sectors: Several Natural Gas industries such as coal, steel, and shipbuilding, have Due to its own low resources, natural gas has to be become less important than more modern industries, imported from a number of countries, and supplies such as mechanical engineering [machine making] are secured well into the next decade. In 2002, natur- and electronics. As a matter of fact, Germany is the al gas accounted for around 22% (+0.5% p.a.) of pri- international market leader in the IT and biotech sec- mary energy consumption. tors as well as in technology for the use of renewable energies and environmental protection. For this rea- Salt son, traditional industrial regions, especially the Germany is one of the world’s most salt-rich coun- industrial centers in former East Germany, the Ruhr tries. Each year, around 20 million tons of salt (15 mil- region and cities with shipyards had to restructure. lion tons of salt and 5 million tons of potash) are pro- duced. The largest salt reserves are located in the Hanover/ area and near Bad Hersfeld. Mineral Resources Germany has little mineral wealth. It has major Industries such as vehicle production, mechani- reserves only of rock salt, potash salt, lignite and cal engineering and plant production, chemical hard coal. Germany is strongly dependent on imports industry, biotechnology and electrical engineer- of raw materials and is highly vulnerable to disrup- ing continue to form the mainstay of the German tions of world trade. economy. Many of Germany’s largest companies are known throughout the world and have branches or research facilities overseas. They include the carmak- Lignite ers Volkswagen, BMW, Porsche, and Daimler- Germany is the world’s largest producer of lignite. Chrysler, chemical corporations such as Bayer and The “brown coal” as it is also called, is the principal BASF, electrical manufacturer Siemens AG, and domestic source of fossil fuels in Germany. The many others like SAP, the Bosch Group, Deutsche largest deposits are in the Rhineland (near Cologne Bank, Nivea, Adidas, and T-Mobile. and Aachen), in Brandenburg and in the Lausitz-area in Saxony. In 2003, a total of 180 million tons were mined and accounted for some 11.4% of primary energy consumption in Germany.

39 Topic 1 Lesson 2 Handout 4

Important Industrial Areas And Mineral Resource Locations Page 2

The top five companies in Germany in 2006, according to sales revenue:

Company Industry 2006 Sales Revenue Home City ($US Billion) Daimler AG Group Automobile 177 Stuttgart Volkswagen Group Automobile 113 Wolfsburg Siemens Group Multi-Industry 111 Munich Allianz Worldwide Insurance 110 Munich Deutsche Bank Group Finance 72 Frankfurt/Main

Source: Maidment, Paul. "Forbes 40 in Germany". Forbes.com. February 7, 2007.

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