FRANKFURT / LONDON (IT BOLTWISE) – Despite a general lull in consumption, the cosmetics industry in Germany is recording impressive sales growth. However, while the domestic market is thriving, overseas business is a concern. The geopolitical situation has a negative impact on international markets, which affects export figures.
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The German cosmetics industry is proving resilient to the current slump in consumption and is heading for another record year. Despite the general economic weakness, manufacturers of personal care products such as shampoo and deodorants recorded sales growth of 2.9 percent. This is notable as many other industries are struggling with stagnant or declining sales.
A key driver of this growth is the domestic market, which grew by 5.5 percent to 23.9 billion euros in 2025. Consumers in Germany appear to remain willing to invest in their personal care, even if they are more cautious in other areas of consumption. This development is supported by the increased demand for domestically produced products.
In contrast, international business remains a challenge. Sales outside Germany fell by 2.1 percent year-on-year. The Personal Care and Detergent Industry Association (IKW) attributes this to the geopolitical situation, which is having an increasingly negative impact on international sales markets. These uncertainties make it difficult for German manufacturers to successfully market their products abroad.
For the coming year 2026, the industry association forecasts more moderate domestic growth of 1.5 percent. This is due to the increased costs of energy and raw materials, which are weighing on manufacturers’ profit margins. Nevertheless, the industry remains optimistic and sees potential for further growth, particularly through innovation and adapting to new consumer trends.
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