Weak dollar creates tariff problems for German companies

Surging demand for cooling technology in data centers is reshaping production at German fan manufacturers. Companies like ebm‑papst and Ziehl‑Abegg are seeing record orders from the United States as artificial intelligence(AI) applications drive up the need for high‑performance server cooling.

But the boom comes with complications in the shape of import tariffs, currency fluctuations and rising price pressures in the US market. To stay competitive, both firms are expanding "local‑for‑local" manufacturing and investing in US production sites — moves aimed at reducing exchange‑rate risks and strengthening supply chains.