 During the years in the former GDR, Elsterberg developed to one of the most important industrial locations of the district of Gera.At this time, industrialisation forms a modern industry town out of Elsterberg, with its "VEB"(state owned company) "Kunstseidenwerk", producing spinnable fiber and in the late 70s additionally sponges, its "VEB Wäscheunion", which as its first priority manufactured bed linen, its "VEB Wärmegerätewerk", which produced the coveted "Glutos"-stoves and its leather factory.Through the political change, the leather and stove industry collapsed and even the spinnable fiber industry had to suffer a lot.