It was once the Ruhrpott of Württemberg, and the metal industry still shapes the Ostalb today. Many companies have changed the world economy.  The history of the metal industry in the Ostalb began with the bean ore: The iron ore balls, which attentive hikers can still find today near Bopfingen-Unterriffingen or Neresheim-Dossingen, were extracted and processed into iron as early as 1365. The first documentary mention dates back to this year. After iron ore seams were discovered in the Braunenberg in 1671, things really took off: the iron and steel works were founded in Wasseralfingen, which later merged into the Schwäbische Hüttenwerke (SHW).

With the construction of the Remsbahn in 1861 from Cannstatt to Wasseralfingen, the industry took a further upswing: the Ostalb became, as it were, the Ruhrpott of Württemberg. The name SHW is still present in several company names today: the automotive supplier SHW Automotive, the machine builder SHW Werkzeugmaschinen – both in Wasseralfingen – and the plant manufacturer SHW SHS in Hüttlingen.

There are now 24,000 companies in the district – with an upward trend: 2,119 new startups in 2021 show that a true startup spirit is alive and well here. And the PROGNOS Institute’s Future Atlas 2022 also attests to the Ostalbkreis district’s particular strength in the „Competition & Innovations“ category, ranking it 12th out of all 400 districts and independent cities in Germany.

The export-strong manufacturing sector still accounts for almost 50% of all employees subject to social insurance contributions. The purely industrial location has long since transformed itself into a technology and high-tech location through production, research and development. In addition to established areas of expertise in mechanical engineering, plant construction and toolmaking, there are also economic clusters in surface technology, photonics, the cultural and creative industries, and the forestry, wood and paper sectors. Globally active market leaders have their roots here, as do successful medium-sized companies, innovative craft enterprises and young start-ups.

Automotive industry: still the most important sector on the Ostalb

The metal industry continues to shape the Ostalb region: IG Metall has more than 20,000 members in Aalen and Schwäbisch Gmünd. It is fighting over collective agreements with the employers‘ association Südwestmetall, which also has a large number of members. Metal companies such as Europe’s largest steering manufacturer Bosch AS, with its lead plant in Schwäbisch Gmünd, are among the largest employers in the district. The company, which was founded in Gmünd in 1934 under the flag of ZF Friedrichshafen AG, is accompanying the transformation of the automotive industry. The metalworking companies also include the Voestalpine Group plant (where, incidentally, substructures for the solar industry are also manufactured) as well as Schüle Druckguss in Gmünd, the forging company GSA and the food machinery manufacturer Seydelmann in Aalen, the specialist for sheet metal forming and sheet metal design Stengel in Ellwangen or the axle manufacturer Kessler + Co in Abtsgmünd. Fein in Bargau manufactures modern tools with and without rechargeable batteries in succession to Emil Fein, who invented the world’s first electric hand drill in 1895.

Maschinenfabrik Alfing Kessler, which manufactures large crankshafts and induction hardening systems at its headquarters in Wasseralfingen, is one of the proven global players in its industry. At its headquarters in Aalen alone, 1600 people work for Mapal Dr. Kress KG. The internationally leading supplier of precision tools for metalworking was founded in 1950 by Georg Kress.

RUD Ketten Rieger & Dietz, based in Aalen-Unterkochen, can boast of being the inventor of snow chains. The world market leader in the manufacture of chains and chain systems is much more than a hidden champion.

Highly innovative plant manufacturers such as VAF in Bopfingen, Kiener in Lauchheim or Mössner in Eschach accompany the automotive industry in the mobility turnaround, as do the Waldstetten-based exhaust technology company PTS, Weisser Spulenkörper in Neresheim or the Gmünd-based Hörnlein Group with its 500 employees. At the dual site in Dinkelsbühl-Wört, the international group TE Connectivity manufactures connector systems for the automotive industry with more than 2000 employees. With the newly founded transformation network of IHK, WiRO, Bildungswerk and IG Metall, the region wants to make the companies fit for the most profound change in the history of the automotive industry: The farewell to the combustion engine, autonomous driving, alternative drives are only three core topics that will fundamentally change the industry.

Zeiss and the photonics cluster

The Ostalb region is a global leader not only in numerous automotive segments, but also in modern woodworking tools, such as those manufactured by Leitz in Oberkochen. The town at the source of the Kocher River, where more people work than live, is also home to Hensoldt Optronics, another globally active company that designs and manufactures optical and optronic devices for military, civil and security applications.

By far the largest company (in Oberkochen and on the Ostalb), however, is Zeiss: When, after World War II, U.S. occupation troops brought 77 leading employees of the optics company founded in 1846 from Jena to the Ostalb, the history of Zeiss began on the Ostalb. Highs and lows followed: Zeiss was plunged into crisis in the mid-1990s. 1997 was also the year of record unemployment of 18,000 people in Ostwürttemberg. By way of comparison, the Aalen Employment Agency counted around 9,000 unemployed in January 2023. And Zeiss is also booming like never before: the group, which supplies the world with lenses, objectives and semiconductor technology, microscopes, measuring instruments and medical technology, made a turnover of 8.8 billion euros in 2022 and has 37,000 employees worldwide – 11,000 of them in Ostalb.

With its optical technologies, the Group is setting the course for the digital future, because technology from Zeiss enables the world’s smallest and most efficient microchips, which make digitization possible. Around the Zeiss nucleus, a genuine Photonic Valley has emerged on the Ostalb from numerous medium-sized companies and start-ups with around 60 companies, a cluster that is unique in Europe in this form.

Gold, textiles and wood: rich industrial tradition

Things were noble in Gmünd in the 18th century, when 250 master goldsmiths and silversmiths alone were based in the imperial city. Even today, companies and start-ups in the field of precious metals and design can be found in abundance on the Rems. Building on this, Gmünd has developed into a competence center for surface technology. One of the many companies in this field, Umicore Galvanotechnik GmbH is involved in the development, production and sale of precious and non-precious metal electrolytes, precious metal compounds as well as platinized titanium anodes and semi-finished products. Another Gmünd export appeals to children: toy manufacturer Schleich sells its figures and playsets in more than 60 countries and now turns over almost 300 million euros annually.

For a long time, the textile industry was a formative economic sector in the Swabian Alb. In Heubach, the international textile companies Triumph and Susa are still reminders of this tradition.

Ellwangen has long since shed its old reputation as a purely civil servant and administrative town. Here, work is being done on the big issues of the future: EnBW ODR, the largest energy supplier and grid operator, has its headquarters here – and is driving the energy turnaround locally and in the region. But the future of energy also depends on storage technology. Probably the world’s most renowned storage expert is Varta, headquartered in Ellwangen: Varta batteries are in millions of headphones, hearing aids, household appliances and much more. Varta AG has been listed on the stock exchange since October 2017.

Ellwangen, with the largest contiguous industrial park in the Ostalb region, is also the place where digitization is being driven forward. Innovative software companies such as FNT GmbH and Inneo Solutions are based here. The e-commerce expert Clickconcepts and the education specialist Betzold secure Ellwangen’s strong position in online trade.

In general, wholesale and retail trade plays a major role in the Ostalbkreis district with its cities with strong shopping areas and the A7, B 29 and B 19 transport axes. These are also important for freight forwarders and logistics companies, which are almost exclusively family-owned in the Ostalb: For example, the freight forwarding companies Lakner, Häberle (both Gmünd), Hirsch (Ellwangen) as well as Brucker in Aalen, the largest regional company with now 800 employees, are of outstanding importance. The trade, hospitality and transport sector employs around 17 percent of the workforce in the Ostalbkreis region.

Once upon a time, large parts of the Ostalb were rural. Almost half of the district’s area is still used for agriculture: 3,000 people earn their living in agriculture. Downstream sectors, such as food processing, mills and breweries, are also important industries, which also include Weleda: The holistic manufacturer of natural cosmetics and remedies, headquartered in Arlesheim, Switzerland, operates its largest site in Schwäbisch Gmünd with around 1,000 employees.

38.4 percent of the Ostalbkreis district is covered with forest. The use of wood has a long tradition. As early as 1938, Viktor Ladenburger Sr. laid the foundation stone for Holzwerke Ladenburger. The original two-man operation has long since become an international group of companies with several locations and headquarters in Bopfingen. Among the industrial companies dedicated to the renewable raw material is also a world market leader: JRS J. Rettenmaier & Söhne GmbH & Co. KG in Rosenberg is dedicated to the research, development and processing of high-quality organic fibers made from vegetable raw materials. Founded back in 1878, the company is still family-owned and employs around 3,500 people at more than 90 locations.

One center of paper production has long been Unterkochen: Founded in 1613 on the Weisse Kocher, the paper mill today belongs to Munksjö, a leading global supplier of decor papers. The Palm paper mill in Unterkochen celebrated its 150th birthday last year at great expense. The family-run company is one of Europe’s leading manufacturers of newsprint and corrugated base papers.

Banks and insurance companies, media and advertising, real estate, culture and administration, as well as numerous providers in the social sector, are essential as employers and for providing for the people of Ostalbkreis. The largest bank in the region, Kreissparkasse Ostalb is, unsurprisingly, only a little younger than the Ostalbkreis itself. For in December 1973, the new district council decided to form a joint savings bank, which was completed on December 1 with the merger of the savings banks to form Kreissparkasse Ostalb with legal dual headquarters in Aalen and Schwäbisch Gmünd.

Masterplan 2030 – innovatively meeting the challenges of the future

With the „Masterplan 2030 – Model Region for Sustainable Transformation“, which emerged from the „Zukunft Ostwürttemberg“ offensive, the region is positioning itself as a business location fit for the future and offering the best framework conditions for companies. Central projects include the hydrogen region Ostwürttemberg, the transformation network Ostwürttemberg, the climate-neutral region Ostwürttemberg and the future structures Start-up & Innovation. The foundation of all topics is the region’s qualification and employment offensive, which most recently launched the „Our Jobs – Your Chance“ program to permanently employ unskilled workers in qualified jobs (again).

As part of WiRO, the Welcome Center Ostwürttemberg provides support in recruiting international skilled workers, especially for small and medium-sized companies. Employers receive information on issues of personnel recruitment, legal framework conditions such as the Skilled Workers Immigration Act and the successful integration of international talent. In addition, the Contact Point for Women and Jobs in the Ostalbkreis district is a point of contact for companies and other employers who want to consciously open themselves up to female talent, address dormant potential for personnel recruitment and retain diverse skilled workers and employees in the long term.

With the „Job für zwei“ network, the East Württemberg Chamber of Industry and Commerce has launched a program that takes care of female partners of potential skilled workers in their supplementary job search. This gives employees the opportunity to move their entire lives to the Ostalbkreis region together with their partner, without having to commute.