German exports fall more than expected in September
2023.11.03 04:01
© Reuters. FILE PHOTO: A crane lifts a shipping container at the HHLA Container Terminal Altenwerder on the River Elbe in Hamburg, Germany, March 31, 2023. REUTERS/Phil Noble/File Photo
BERLIN (Reuters) -German exports fell more than expected on the month in September, federal statistics office data showed on Friday, as weak global demand hurt exports.
German exports fell 2.4% in September from the previous month. The result compared with a forecast 1.1% decline in a LSEG poll.
“Trade is no longer the strong resilient growth driver of the German economy that it used to be, but rather a drag,” said Carsten Brzeski, global head of macro at ING.
He said that since the start of 2022, net exports have been a drag on the economy in four out of six quarters.
Supply chain frictions, a more fragmented global economy and China moving from a dynamic export destination to competitor are all factors weighing on the German export sector, Brzeski said.
Exports to European Union countries fell 2.1% on the month and exports to countries outside the EU fell 2.8%, with sharp declines in exports to the U.S. and China.
The statistics office upwardly revised the data of the previous month to a 0.1% increase in exports on the month, instead of a 1.2% decline.
Imports also unexpectedly fell by 1.7% on the month in September, the data showed. They had been forecast to increase by 0.5%.
The foreign trade balance showed a surplus of 16.5 billion euros ($17.54 billion) in September, versus an upwardly revised surplus of 17.7 billion euros the previous month.
