Germany’s Business Sector to Continue Suffering as the Government Extends Shutdown Until April 20

Germany has extended the shutdown to April 20, Merkel’s chief of staff Helge Braun told local newspapers. The latest numbers from Germany show an increase of nearly 6,300 infections in the last 24 hours, in addition to 55 deaths.

The shutdown, aimed at limiting the spread of the virus means that schools, shops, restaurants, playgrounds and sports facilities are all closed.

In a weekly podcast, Chancellor Merkel thanked residents for complying with rules to prevent the spread of coronavirus.

The German government has earlier agreed on a stimulus package worth more than 750 billion euros to support the economic activity across the country. Around 100 billion euros will be used for potential nationalizing troubled companies.

Still, companies are struggling to come to terms with the new reality. Sports good retailer Adidas (ETR:ADS), electronics retail chain Media-Saturn (ETR:CECG) and shoe retailer Deichman said they will skip paying rent as their shops are closed.

These actions were called “obscene and unacceptable”, by Germany’s Minister of Justice, Christine Lambrecht.

On the other hand, the world’s largest car producer by sales, Volkswagen (ETR:VOW) has extended production halt until April 09 in all of its 28 plants in Germany.

He also added that almost all of the company’s production facilities in China have resumed production.