German CEOs flag the €10bn tax cuts as insufficient to spark growth, noting the package equals about 0.21 % of GDP in 2025. The coalition rolled out mid‑class tax relief, labour market tweaks, stricter sick‑leave rules, and red‑tape reductions, but executives warn the reforms fall short of the €27bn cuts discussed earlier.

Siemens chief Roland Busch called the package an important step but urged additional action, citing non‑wage labour costs and rigid working‑time limits as competitive disadvantages. TeamViewer CEO Oliver Steil said the cuts send a positive signal yet may not be large enough to change investor sentiment. Boehringer Ingelheim cancelled €900mn of domestic R&D spending, and Zalando shuttered its Erfurt hub, affecting 2,700 staff, reflecting broader capital‑allocation shifts.

The government’s Swedish‑style pension fund and mortgage‑lending incentives aim to boost private construction, but industry lobbies Воil that tax reform alone will not spur corporate investment. Rapid execution of the measures is critical, as delays have already stalled infrastructure projects and exacerbated job‑cut threats, such as Volkswagen’s planned 100,000 layoffs.

The package shows Berlin’s readiness to act, but without deeper cuts and faster implementation, investors may stay wary of a sustained rebound.