Report

The extent to which the German economy’s current problems are structural is demonstrated by the persistence of its weak growth: economic output continued to decline at the end of the year. German exports in particular have fallen sharply, especially deliveries to China. German ex-porters are now losing ground to China for the fourth year in a row. Weak foreign demand is contributing to a further decline in investment in equipment. However, there is also a lack of impetus from the domestic market: Low capacity utilization in many sectors of the economy and the alarmingly high level of uncertainty about the economic environment in Germany are causing companies to postpone investments. Only private consumption increased slightly at the end of the year.

Mar 13, 2025

The global economy maintained its solid growth trajectory this summer, driven primarily by the strong expansion in the USA. Global industrial production picked up significantly in spring and summer, particularly in Asia. Parallel to industrial production, global trade in goods also expanded noticeably until the summer. However, current data suggests that the upturn in industrial production and in global trade is unlikely to persist. Industrial production and global trade fell in September. The global purchasing managers’ index for the manufacturing sector also suggests that the fundamental weakness in industry is continuing. The disinflation process has not progressed any further recently. Prices are rising sharply in the services sector, which is why core inflation excluding energy and food is stubbornly persistent.

Dec 14, 2024

Oct 1, 2024