Heatwaves to Cost Germany About €25 Billion This Summer, Allianz Study Says

The striking part is the mechanism: the drag comes not from a single shock but from labour capacity — breaks and absenteeism — in an economy where cooling is not widespread, which makes heat a recurring productivity tax rather than a one-off event. That reframes climate exposure as a structural cost to industrial output, not just an insurance or agriculture story. Whether such losses are treated as transient weather or as a persistent growth headwind is the open question, and it is one that speaks directly to how adaptation spending gets valued.