Country Overview        When outsiders think of Europe they do not immediately focus on Germany, it is often overlooked from the rest of the EU. They immediately focus on its best known characteristics such as beer, dirndls and famous schnitzels or their negative characteristics such as their disastrous past events. In reality, Germany is the most notable due to its intense and successful reconstruction and recovery after both world wars.            Germany is a  country that has gone through turmoil in the past but it has proven itself to be one of the most successful countries in Europe. It is highly developed and has the largest national economy in Europe and fourth best in the world. With a very open minded chancellor, Angela Merkel has changed the politics of Germany and the way it is perceived. Merkel follows humanism and internationalism tenets and it has reflected on the german people. Germany has followed a conservative spectrum for decades and in just recent years it has quickly changed. Politics and the way citizens perceive notions has taken a more hospitable and generous approach.         The U.S. is a traditional close ally to Germany due to the support of the states with not only Germany’s but Europe’s reconstruction after WWII. The good relations between these two countries has allowed for Germany to become the largest trading partner for the U.S. in Europe. Relations improved once President Obama became president in 2009, Merkel and Obama worked harmoniously to solve issues and became really good friends. Just two years ago Germany was the U.S. closest ally and now relations between the two countries has strained. President Trump has caused tension between both countries due to his constant attacks over trade and NATO disputes against Germany. Although there has been higher tariffs imposed on some products by the U.S., this has not slowed down trade traffic between both countries. Germany is still open to international trade and foreign direct investment that will help drive the economy. Culture           Germany’s culture has been shaped by historical and intellectual events that occured in the past and it is widely known as the “land of poets and philosophers” (German Culture, 2019). They are home to philosophers such as Immanuel Kant and well-known physicist Albert Einstein. Other famous names include some of the best composers for classical music such as, Bach, Beethoven, Handel and Schumann. The official religion is similar to the states, with it being a Christian dominant country.       Their culture compared to the U.S. is much more calmer and not as diverse. Germans are very reserved and like their peace and quiet. To keep the quiet, German cities implement “quiet hours” meaning cars are not able to drive past a certain speed limit and folks going out must be quiet to not disturb the peace. Americans are known for the complete opposite, they are known for being loud and obnoxious. Germans are very direct and like to.

1. Country Overview
When outsiders think of Europe they do not immediately
focus on Germany, it is often overlooked from the rest of the
EU. They immediately focus on its best known characteristics
such as beer, dirndls and famous schnitzels or their negative
characteristics such as their disastrous past events. In reality,
Germany is the most notable due to its intense and successful
reconstruction and recovery after both world wars.
Germany is a country that has gone through turmoil in
the past but it has proven itself to be one of the most successful
countries in Europe. It is highly developed and has the largest
national economy in Europe and fourth best in the world. With a
very open minded chancellor, Angela Merkel has changed the
politics of Germany and the way it is perceived. Merkel follows
humanism and internationalism tenets and it has reflected on the
german people. Germany has followed a conservative spectrum
for decades and in just recent years it has quickly changed.
Politics and the way citizens perceive notions has taken a more
hospitable and generous approach.
The U.S. is a traditional close ally to Germany due to the
support of the states with not only Germany’s but Europe’s
reconstruction after WWII. The good relations between these
two countries has allowed for Germany to become the largest
trading partner for the U.S. in Europe. Relations improved once
President Obama became president in 2009, Merkel and Obama
worked harmoniously to solve issues and became really good
friends. Just two years ago Germany was the U.S. closest ally
and now relations between the two countries has strained.
President Trump has caused tension between both countries due
to his constant attacks over trade and NATO disputes against
Germany. Although there has been higher tariffs imposed on
some products by the U.S., this has not slowed down trade
traffic between both countries. Germany is still open to
international trade and foreign direct investment that will help

2. drive the economy.
Culture
Germany’s culture has been shaped by historical and
intellectual events that occured in the past and it is widely
known as the “land of poets and philosophers” (German Culture,
2019). They are home to philosophers such as Immanuel Kant
and well-known physicist Albert Einstein. Other famous names
include some of the best composers for classical music such as,
Bach, Beethoven, Handel and Schumann. The official religion is
similar to the states, with it being a Christian dominant country.
Their culture compared to the U.S. is much more calmer and
not as diverse. Germans are very reserved and like their peace
and quiet. To keep the quiet, German cities implement “quiet
hours” meaning cars are not able to drive past a certain speed
limit and folks going out must be quiet to not disturb the peace.
Americans are known for the complete opposite, they are known
for being loud and obnoxious. Germans are very direct and like
to follow the rules. Cycling culture is very big and cyclist have
the right of way when on the sidewalk, which is not common in
the states. There are many differences in the restaurant/dining
industry, roads, the way people drive and just daily life
compared to in the U.S (German-Way, 2019).
In the business environment, it is a bit similar but the main
difference the way they present ideas and/or solutions.
Americans tend to be more straightforward and impatient and
want to get their point across as quickly as possible. Germans
like to take the time to analyze all information provided and
take their time to make important decisions (German-Way,
2019). Business etiquette and the way to act with potential
business partners is relatively the same for both countries.
They have a population of approximately 82 million
people and their official language is German. Majority of
Germany are fluent in english due to the fact that it is required
to be taught at elementary schools, so there won’t be a language
barrier when visiting. Its culture is also heavily founded on the
love for beer and baked goods. Germany has the third largest

3. beer consumption per capita in the world and they have a widely
popular festival that is dedicated to drinking and celebrating
beer (German Culture, 2019). They are also known for having
300 different varieties of baked bread and having an immense
amount of bakeries to choose from.
The education system in Germany is well developed due to
the government's focus on internalization and improving their
reputation for higher education. Internalization was a strategic
objective that was implemented after statistics showed that
Germany had the second oldest population after Japan and was
estimated that the population will see a major decline in the
following decades (World Education News and Reviews, 2019).
Internalization will help with these issues by improving higher
education and helping stimulate immigration by attracting more
international students.
The literacy rate in German is 99%. Primary and
secondary education is very important in Germany. They offer
dual programs and preparatory classes for higher education. The
Federal Ministry of Education in Berlin provide the framework
for all education levels by managing funding, financial aid and
entry requirements for professions (WENR, 2019).
Leadership
Germany is a democratic country and a parliamentary
republic, which power is vested to the chancellor that is
appointed by the president. The current president of Germany is
Frank-Walter Steinmeier and his major roles is to appoint the
federal chancellor and the chancellor cabinet and federal judges
and signing all federal legislation and treaties. The appointed
chancellor, which is Angela Merkel, runs the government and
initiates government policy. The chancellor has extensive
autonomy and powerful initiatives when dealing with issues.
Germany has two chambers, the Bundestag and the Bundesrat.
The Bundestag is made up off 600 members and it exercises the
majority of power. It is where all legislations are created. The
bundesrat is the upper chamber consisting of 69 members and

4. they focus on state legislations (Brittanicca, 2019).
Hemp in Germany
Hemp is a cannabis plant that is useful for many things. Hemp
produces Cannabidiol, also known as CBD, and it is used for
healing and medical purposes. The CBD oil, which is made by
the hemp leaves, flowers and stalks, does not have any
psychoactive effects it's more of an anxiety reliever. It is the
same with hemp oil, this oil is gathered from the seeds of hemp
and it is also used as a stress reliever. Both oils contain low
levels of THC, which is the main psychoactive component in
cannabis (Rivard, 2018).
Hemp was used for decades in Germany before it was
banned in 1930, when an anti-marijuana campaign led in the
U.S. became very popular. This campaign caused for other
countries to follow in the U.S. footsteps. The ban was later
lifted in 1995 after the hemp industry saw a massive growth.
Since then Germany has allowed businesses to acquire licenses
to sell and produce CBD. The hemp industry is increasing and
becoming more and more popular since medical marijuana was
legalized in 2018. The market for hemp products is still pretty
new even if it has been legalized for many years now.
The reason why the market has been growing so rapidly is
due to hemps versatile usage. Hemp can be used to make self
care products, durable fabrics, food, construction materials,
plastic composites, it has properties that can clean the soil and
more. It can be grown as a renewable resource to be used to
make thousands of products. Growing hemp does not require
much maintenance, they do not need as much water compared to
other crops and no pesticides. A con to growing industrial hemp
is that the plant grows vigorously and it is very unpredictable
on how fast and how large it will grow. The estimated harvest
time is 4 months. With industrial hemp producers focus on the
stalk and leaves of the cannabis plant so the pulling process
must be very careful.
The demand for hemp and medical marijuana has increased 43%
in 2018 after the legalization in 2017 (Dobush, 2019). Germany

5. does not keep track on how much is being sold so it is hard for
companies to analyze the market. German authorities do not
publish any data on how much cannabis is being sold how many
people have purchased it. According to the National Association
of Statutory Health Insurance, publishes data on insurance
reimbursement on medical cannabis and they reported about 100
kg of cannabis was being reimbursed per month. Out of all
reimbursements cannabis made up 43% and it totaled 13.3
million euros (NASHI, 2019).
As sales increase the demand will too. Currently Germany’s
hemp exporters are Canada and The Netherlands. The
Netherlands just doubled their exports of hemp from 700 kg to
1500 kg. As demand increases Germany will be looking for
more suppliers to be able to meet demand. The domestic market
of hemp is blazing and more companies are seeing great
potential in the market. German has been struggling to meet
demand ever since medical marijuana were legalized. Although
hemp has been legalized since the late 1990’s the trend of
medical marijuana has boosted the production of hemp products
in Germany.
Rules/Tariffs
Hemp cannot simply be sold as plants to the customers its a
result of a recent amendment to the country's Narcotics Act.
According to the act, a person can only handle unprocessed
hemp if it serves "exclusively for commercial or scientific
purposes, which exclude an abusive or intoxicating purpose.
Authorities are only allowing customers with a business license
to trade hemp to pick and purchase. The European Industrial
Hemp Association (EIHA) supports the development of a
harmonized legislation in this field, to make sure that
consumers are protected, to sustain the industry’s current
double-digit growth rate, to attract new investors and to boost
product development. The legislation should avoid any
restrictions for CBD and clarify that extracts and preparations
from industrial hemp are not narcotics in the EU.
Trends

6. Some trends that will influence the hemp industry are the
self-care and beauty trends, eco-friendly living and construction
on homes. In beauty, Germans follow a “less is more” approach
and tend to use less make-up and focus on skin health. With the
acids in hemp oil, such as linoleic and oleic, help fight wrinkles
and it is used as an anti-aging oil (Healthline, 2019). Hemp oil
also has nourishing vitamins and moisturizing qualities which
moisturizes and soothes inflammation. Hemp oil is great for
improving the health of your skin and as this trend of using less
make-up and focusing on skin care becomes more popular the
demand for these oils will increase.
Germany is known for being a country that has focused on
climate change and have a set system on how to become more
eco-friendly. They have taken action on scientist warnings on
how we have to decrease our dependence from fossil fuels.
Germany has inforced many policies on eliminating waste and
decrease the usage of fossil fuels, such as The Cogeneration Act
and the Renewable Energy Act. They are also very strict about
recycling and plastic usage. Something good about hemp can be
made into biodegradable plastic that can be used in packaging
and other usages. The German government is already very strict
on all these issues so introducing these products will help solve
some issues.
Target Market
Hemp is used for many different reasons; durable textiles,
healing creams and oils for muscle pains and also be used to
moisturize and anti aging cream. The target market in Germany
will be vary depending on the product. For its oils and creams
the product will be targeted towards women and people with
who need medical attention. High anti-aging creams are already
very popular among women. As industrial hemp producers we
will focus on what is in high demand in Germany, which are
oils and creams. These creams can be used for medical relief
and also as beauty products. Our targeted market for this
product will be for women and people who are seeking these
products for medical relief

7. Economics
If industrial hemp is to have a future in Germany or other
Western countries, hemp-based product lines will have to be
established on a relevant scale within the next five years. The
emerging German hemp industry is now faced with the question
which of the numerous potential products will have a realistic
chance of successful introduction into German economy under
technical, economic, and environmental criteria. This question
has now been answered by the ‘Hemp Product Line Project’
(HPLP). At least 11 product lines based on hemp fibers, hurd,
seeds/oil and cannabinoids are suitable for establishing the
foundation of a sustainable German hemp industry by the year
2000. Investments and marketing activities should focus on
their implementation.
Germany’s GDP.
As of 2016 Germany’s GDP accounted for over $3.652 Trillion.
The gross domestic product (GDP) or value of all final goods
and services produced within a nation in a given year. A
nation's GDP at official exchange rates (OER) is the home-
currency-denominated annual GDP figure divided by the
bilateral average US exchange rate with that country in that
year. The measure is simple to compute and gives a precise
measure of the value of output. Many economists prefer this
measure when gauging the economic power an economy
maintains vis-Ã -vis its neighbors, judging that an exchange
rate captures the purchasing power a nation enjoys in the
international marketplace. Official exchange rates, however, can
be artificially fixed and/or subject to manipulation - resulting in
claims of the country having an under- or over-valued currency
- and are not necessarily the equivalent of a market-determined
exchange rate. Moreover, even if the official exchange rate is
market-determined, market exchange rates are frequently
established by a relatively small set of goods and services (the
ones the country trades) and may not capture the value of the

8. larger set of goods the country produces. Furthermore, OER-
converted GDP is not well suited to comparing domestic GDP
over time, since appreciation/depreciation from one year to the
next will make the OER GDP value rise/fall regardless of
whether home-currency-denominated GDP changed.
Import/Export between U.S.
Imports between U.S./ Germany totaled: $111 B
Exports between U.S./ Germany totaled: $61.6B
Imports totaled.
Germany is the 3rd largest import economy in the world. In
2017, Germany imported $1.08T resulting in a positive trade
balance.
Exports totaled.
Germany is the 2nd largest export economy in the world. In
2017, Germany exported $1.33T
GDP Per Captia.
Germanys GDP as of 2017 estimated over $50,200. This entry
shows GDP on a purchasing power parity basis divided by
population as of 1 July for the same year.
U.S Goods and Trade Deficit with Germany.
· the most recent full year 2016 the U.S. trade deficit in goods
with Germany was a little under $65 billion
· Germany is currently our 4th largest goods trading partner
with $2.41T in total (two way) goods trading during
· Goods exports totaled $270 B; goods imports totaled $416 B
· In the most recent full year 2016 the U.S. trade deficit in
goods with Germany was a little under $65 billion. Specifically,
the United States bought German goods worth $114 billion and
sold goods worth $49 billion; subtract the latter from the former
and you come up with $65 billion

9. · Trade in services with the EU (exports and imports) totaled
an estimated $407 billion in 2016.