ISO27001 doesn't specifically require disk encryption. Rather it requires data on disks be protected according to how it is classified. Disk encryption is one way to achieve this, especially in a shared-hardware environment.
In this case, the disks being in a ISO27001 data centre with processes in place to ensure erasure during de-provisioning (which Hetzner is, and has), may well also meet this criteria.
In this case, the disks being in a ISO27001 data centre with processes in place to ensure erasure during de-provisioning (which Hetzner is, and has), may well also meet this criteria.