German exports fall significantly more than expected in March
Reuters
Published May 04, 2023 04:21AM ET
By Maria Martinez
(Reuters) - German exports fell significantly more than expected in March, as deliveries to the United States and China sharply declined, data showed on Thursday.
Exports decreased by 5.2% on the previous month, with exports to European Union countries falling 6.2%, to the United States declining 10.9% and to China dropping 9.3%, the federal statistics office said.
A Reuters poll had predicted a month-on-month decline of 2.4%.
"We continue to see no evidence of China's reopening in these data," said Claus Vistesen, chief eurozone economist at Pantheon Macroeconomics.
Trade volumes with China shrunk significantly at the end of the first quarter, but Vistesen noted that China's reopening didn't get fully underway until the beginning of the second quarter.
Sentiment among German exporters has rebounded to the highest point seen since the outbreak of war in Ukraine, on hopes of increased demand following China's reopening and thanks to the resilience of the U.S. economy, according to a survey by the Ifo economic institute.
Despite the upbeat sentiment among exporters, the global economy has important challenges ahead: sticky inflation, rising interest rates and geopolitical uncertainties stemming from the war in Ukraine. "The export-heavy German economy is feeling the effects of this," said Thomas Gitzel, chief economist at VP Bank.
Imports fell by 6.4% compared with February versus analysts' expectations for a 1.7% fall.
The foreign trade balance showed a surplus of 16.7 billion euros ($18.52 billion) in March, up from 16.1 billion in the previous month.
The German Chamber of Commerce and Industry (DIHK) on Wednesday slashed its forecast for real growth of German exports in 2023 to 1% from a previously predicted 2.5%.
The statistics office publishes more detailed economic data on its website.
Get The News You Want
Written By: Reuters
Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.