
Approval from the Federal Network Agency: Sending letters in Germany will most likely become more expensive than ever before.
AI-generated summary
Falling letter volumes due to increasing digitalization are leading to higher unit costs at the post office.
Sending letters in Germany will most likely become more expensive than ever before. However, the Federal Network Agency is only partially complying with the Swiss Post's request.
Deutsche Post will be allowed to increase its postage at the beginning of 2027. The Federal Network Agency announced on Monday that letters from private customers could be 20.35 percent more expensive on average. The price for parcels from private customers could increase by 10.72 percent and that for business mail by 20.35 percent. The possible postage increases apply for two years. The Bonn authorities said they can decide for themselves how the post office uses this. It is possible to increase the prices of individual products more and others less.
“The main reason for the increasing postage is the sharp decline in the volume of letters,” explained the President of the Federal Network Agency, Klaus Müller. If the costs have to be spread over fewer letters due, among other things, to increasing digitalization, the prices will rise. At the same time, the Federal Network Agency did not comply with the adjustments requested by Deutsche Post and did not take various positions asserted into account.
AI outlook — possibilities, not facts
Deutsche Post will increase postage at the beginning of 2027
Very likely · Within months

The DAX remains above 25,000 points at the start of the week and is benefiting from positive US guidelines and falling oil prices. Meanwhile, high bond yields and a sharp drop in sales at Volkswagen in the third quarter are having a negative impact.

Material shortages in German industry increased slightly in September. The electrical and chemical industries in particular are affected by a lack of primary products, while the situation in metal production has eased.

The Federal Network Agency has published a draft according to which German letter postage could increase by around 20.35 percent by January 2027. This would mean that the price for a standard letter would climb to over one euro for the first time.

Around 350,000 jobs have been lost in the German metal and electrical industry since 2019. According to Gesamtmetall, technological upheaval, sharp increases in labor costs and international competition, particularly from China, are weighing on the sector.

The euro repeatedly slides below the $1.12 mark. Experts blame concerns about French government finances, political uncertainties and low economic growth in the euro zone for the weakness.

After price losses, the Dax closed higher. The coming stock market week will be dominated by the Paris auto show, VW sales figures, the IMF annual meeting and the start of the US reporting season against the backdrop of geopolitical risks.