BERLIN — German garden furniture manufacturer Stern GmbH & Co. KG, a family-owned company with a 61-year history, has filed for insolvency as it struggles with weakening consumer demand, rising costs and challenging market conditions in Europe’s home and outdoor furnishings sector.
The company said the insolvency proceedings are intended to facilitate a restructuring while allowing business operations to continue. Management expressed confidence that the process would provide an opportunity to stabilize the business and preserve as many jobs as possible as it seeks new financing and strategic options.
Founded in 1965, Stern has built a reputation as a premium producer of outdoor furniture, supplying retailers across Germany and other European markets. Like many companies in the furniture industry, it has faced pressure from declining consumer spending, elevated production costs and a slowdown in the housing market following the post-pandemic surge in demand.
The insolvency filing adds to a growing number of corporate failures in Germany, where weak economic growth, high financing costs and subdued consumer confidence have continued to weigh on manufacturers and retailers. Official data show company insolvencies have remained on an upward trend in 2026, particularly in manufacturing and consumer-related sectors.
Stern said it will continue serving customers and working with suppliers during the restructuring process while exploring measures aimed at securing the company’s long-term future.
Source: Patronlar Dünyası/ Prepared by: İlayda Gök