The German economy has been hit hard, ministers are falling for each other

US chipmaker Intel has announced the postponement of construction of its factory in the eastern German city of Magdeburg.

the dw.com According to his report, Intel CEO Pat Gelsinger said the project in the capital of the German state of Saxony-Anhalt is expected to be delayed by about two years.

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The company plans to build two chip factories in the state, which will create about 3,000 jobs.

“We must continue to work urgently to create a more competitive cost structure and achieve the $10 billion savings target announced last month,” Gelsinger said.

The investment value was estimated at around 30 billion euros (about 12 trillion Hungarian forints).

In response to the announcement, Finance Minister Christian Lindner called for government support for the project to be used to reduce the federal budget deficit.

On the other hand, Economy Minister Robert Habeck said the government would discuss “the reasonable and wise use of the money and for the good of the country.” According to the minister's point of view, the subsidies come from the Climate and Transition Fund outside the budget, so they cannot be redirected to the federal budget.