BERLIN: On Monday, farmers in parts of Germany staged demonstrations by blocking highway access roads, initiating a series of protests against the government’s proposal to eliminate tax breaks on diesel fuel utilized in agriculture.
Last month, Chancellor Olaf Scholz’s contentious three-party coalition sparked outrage among farmers with proposals to eliminate a car tax exemption for farming vehicles and reduce diesel tax breaks, aiming to address a 17-billion-euro budget shortfall in 2024.
However, following intense pressure, the government backpedaled partially, deciding to maintain the car tax exemption and stagger the diesel tax cuts over three years. Despite this compromise, the German Farmers’ Association remained steadfast in demanding a complete reversal and announced plans for a “week of action,” including tractor-led blockades on highways and protests at the Brandenburg Gate in Berlin.
Tensions escalated when farmers prevented Vice Chancellor Robert Habeck from disembarking a ferry, drawing widespread criticism from both government and opposition figures. Concerns about far-right groups exploiting the protests led the authorities to caution against infiltration. Farmers’ association chairman Joachim Rukwied denounced the government’s partial concession as inadequate, asserting that the additional tax burden was unsustainable.
This budgetary turmoil stemmed from the German high court annulling a prior decision to reallocate 60 billion euros intended for pandemic relief to address climate change and modernization, breaching Germany’s stringent debt limits. Adding to the disruption, travelers in Germany face an impending three-day strike by a union representing train drivers, unrelated to the farmers’ protests, intensifying the labor dispute with state-owned railway operator Deutsche Bahn over working conditions and compensation. The GDL union has scheduled a walkout from 2 a.m. Wednesday until 6 p.m. Friday.
