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Cars from German production before shipment in the export port of Bremerhaven
Photo: Ingo Wagner/dpa
Declining demand from abroad is dampening the business of German export companies.
Exports "Made in Germany" fell in October for the second month in a row compared to the previous month, according to data from the Federal Statistical Office.
"The German export engine is noticeably jerky," said Volker Treier, head of foreign trade at the Association of German Chambers of Industry and Commerce (DIHK).
»High inflation rates and a tight monetary policy in important sales markets are dampening international demand.« The foreign trade association BGA is also concerned.
“The stagnation trend of the last few months is now turning into a slight decline,” said Dirk Jandura, President of the Federal Association of Wholesale, Foreign Trade and Services (BGA).
»The weakness in imports in particular indicates that the foreign trade engine is starting to sputter.«
According to the BGA, the decreasing traffic jams in container shipping are easing the delivery bottlenecks.
However, this is about the processing of existing business.
"The ongoing uncertainty regarding the global economic situation and the numerous geopolitical risks are increasingly affecting foreign trade," says Jandura.
Companies anticipate prolonged weakness in exports
According to data from the Federal Statistical Office, exports fell by 0.6 percent in October compared to the previous month.
Imports even fell by 3.7 percent.
Altogether, calendar and seasonally adjusted goods worth 133.5 billion euros were exported from Germany.
That was 14.2 percent more than a year earlier.
Imports increased year-on-year by 20.9 percent to 126.6 billion euros.
The strong price increases of the past few months are also reflected in the year-on-year growth.
However, the effects cannot be precisely quantified.
No price-adjusted data is collected.
Exports in October slowed down compared to the previous month, especially in business on important sales markets such as the European Union (minus 2.4 percent) and the USA (minus 3.9 percent).
According to a current DIHK economic survey, only 16 percent of industrial companies expect their exports to increase in the next twelve months, while 40 percent expect lower exports.
"Only during the financial crisis and at the beginning of the corona crisis were companies more pessimistic about their foreign business," said Treier.
According to the Ifo Institute, however, the mood among export companies has recently brightened somewhat.
The economic research institute recently announced that there were "small glimmers of hope" for the German export industry.
According to Ifo President Clemens Fuest, the auto industry is expecting growth.
On the other hand, according to the monthly economic survey, the chemical industry, which is suffering from high energy prices, expects business to decline.
The index of export expectations had been continuously in the red for four months since July. In November it was slightly positive again for the first time.
beb/dpa
