The economic losses from wildfires and heatwaves in five major European countries have reached €3.1 billion (approximately 5 trillion won).
According to the Financial Times on August 2, the total economic damage in France, Spain, Portugal, Greece, and Romania, where wildfires and heatwaves have been concentrated, is estimated at €3.1 billion.
This figure is €600 million higher than the €2.5 billion estimated by the European Commission. The Financial Times based its estimate on data from the European Commission and the French government, as well as the costs needed to restore areas affected by wildfires.
However, this assessment does not reflect the total damage across Europe. The insurance industry is still investigating losses related to real estate and crops, and the impact of reduced tourist numbers and business disruptions during the summer vacation season is also being assessed.
Economic losses due to drought have not yet been included. Record high temperatures and low rainfall have caused water levels in the Rhine and Danube rivers to drop, disrupting cargo transport and industrial water supply.
German chemical companies such as BASF, Covestro, and Evonik, which have production facilities near the Rhine, are facing increased logistics costs and production disruptions. Lower water levels reduce the amount of cargo that can be loaded onto ships, raising transportation costs for raw materials and products.
Operations at nuclear power plants are also under threat. A nuclear power plant in Hungary is facing potential shutdown due to record low water levels in the Danube River.
In Romania, the Cernavodă nuclear power plant has halted operations at one of its two reactors due to a lack of cooling water. The Financial Times reported that if the supply of cooling water continues to decline, it could impose additional burdens on electricity production and manufacturing across Europe.
* This article has been translated by AI.
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