Germany Invests in Russia's Future as one of the leading investors in this Bric country

German companies are very active with investments in Russia and in fact Germany is only 2nd to Russia's Bric Partner China as the largest invested in Russia, China has been Russia's largest trade partner for the last 2 years. It's expected that investment in Russia will be back up to the record levels that were invested by German companies in 2008.

German companies are showing more confidence in future partnerships in Russia than some of its more traditional markets in the EU. German companies lead the way in terms of market penetration in Russia where's German companies tend to invest in a wide range of Industry's Companies from China tend to just focus on the Energy sector and  exploitation of Raw Materials Industry’s. German companies are investing in the retail industry Food and Non Food, Energy, Transport, Construction, Automotive, Woodworking and Metalworking, Oil and Gas, Logistics and the agriculture industry are all Industry that is attracting German Investment. German companies are always looking to invest with Russian partners who want to modernize and have products which will not just service the demand in the local market but can also be sold around the world. We also see German financial  institutions and Banks looking to invest in Russia and its future.  

German retailers such as Aldi and Lidl are looking for acquisitions in Russia and plan to buy Russian assets over the next few years, Other Germany retails are looking not to just invest in the Food sector but the non food sector as well. We also German companies making Greenfield investments in the consumer sector and German companies looking to set up production there.

With Germany not Looking to renew its Nuclear plants when they reach the end of their life so German companies are looking to invest in the Russian Energy and Oil and Gas Industry to secure Germany’s future needs and Germany looks to diversify its Energy mix. German companies RWE and EON are making investments in Russia by investing in Russian Energy suppliers and Russia’s Oil and Gas infrastructure. German giant Siemens is investing $ 1.4 Billion dollars over the next 3 years in Russia, $ 960 million of this investment will be spent in the Energy sector and $ 550 million is going to  production facilities to build Gas Turbines and their related services and Support industry’s . Siemens is also investing in the Russia transport infrastructure and particularly the Railway industry by joining in a trade partnership with Russian Partner company Sinara Group. It's expected that this Trade Partnership will focus on the production of Cargo and urban commuter trains. To supply these Trains with Drives then Siemens will be building an Industrial Drive production line in St Petersburg. Volkswagen will invest in Russia $900 million in 2011 which with its previous investments since 2006 makes it the largest automotive investor in Russia and one of the largest overall international investors in Russia

For German companies in Russia has many attractions the main strengths would be that Russia has a good growth of  over 4% , an emerging middle class and high levels of consumer demand, a well educated workforce and relaxed employment laws that tend to provide more flexibility for the employer

Thanks to booming Commodities prices the Russian Governments have good cash levels therefore its ready to invest in its infrastructure and the Modernization of Russian and its industry’s. German is one of Russia key Trade Partners and with German investments into Russia this to continue for the foreseeable future.