It's the continuation of a process that is going on for 25-30 years. As others have noted, Germany's industrial base is eroding due to high energy costs and Chinese competition. Its political decisions over the last two decades have been questionable, accelerating the decline and any true reform is unlikely to get a majority in the current gerontocratic society. There is no need to attribute this to malice, I think it can adequately be explained by incompetence.