Crucial supply chains remain disrupted, because crucial railway links were broken by the flash floods in the west of Germany. Due to the flooding, Thyssenkrupp, the German steel- making giant, could not get raw materials. This will affect industries such as the motor industry, domestic appliances, and related industries. In a letter to customers, Thyssenkrupp declared a force majeure event on July 16 — an event that occurs when unforeseen circumstances, such as natural catastrophes, prevent one party from fulfilling its contractual duties, absolving it from penalties.
A source at the Thyssenkrupp steel mills told S&P Global Platts that parts of the railway in Hagen are “missing,” making it even more difficult than before to get trucks for delivery, particularly the big trucks required to transport larger steel parts . Hagen is a city in western Germany that is among the worst-hit by the floods.
