European cleantech revenue plummets
Companies in Asia, North America and Latin America posted significant increases in revenue in 2011, but their European counterparts saw revenue shrink by more than 30 percent. This grim conclusion comes from management consultancy Ernst & Young’s 2012 Cleantech Report. The findings of the report show that companies in Germany saw revenue drop by 15 percent to USD 17 billion, while their employee numbers fell by 24 percent to 28,000. In spite of this, Germany is still the world’s third most important cleantech country by number of companies, market capitalisation and number of employees, after the US and China.
Ernst & Young’s Robert Seiter points out that competition is getting more intense around the globe. For example, it only took Asian companies a couple of years to take the title as the world’s highest-grossing continent from European firms. They were able to do so through a combination of an aggressive growth strategy and government subsidies. However, the report also said that greater competition among cleantech firms will yield stronger global players and more competitive prices for renewable energy.