German exports beat expectations despite slowing global economy
BERLIN, Oct 5 (Reuters) – German exports rose slightly more than expected in August despite a slowing global economy, rising interest rates and material shortages, the statistics office said on Wednesday.
Stronger demand from the United States and China helped push exports up to 133.1 billion euros ($132.59 billion) in August, up 1.6% from the previous month .
Imports also rose more than expected, rising 3.4% to 131.9 billion euros, the seventh consecutive month of growth.
A Reuters poll had predicted a monthly rise in exports and imports of 1.1%.
Analysts welcomed the August figures, but warned that amid a bleak economic backdrop, exports could become a drag on growth.
High energy costs due to the war in Ukraine are slowing domestic production, which will have a negative effect on exports, said the bank’s VP chief economist, Thomas Gitzel.
“With its strong export industry, the German economy is particularly exposed to global economic adversity,” he said.
Germany’s seasonally adjusted trade surplus was lower than expected in August, at 1.2 billion euros, according to the statistics office, against analysts’ forecast of 4 billion euros.
“The war in Ukraine succeeded in delivering what nothing else had succeeded before: letting the famous German trade surplus disappear,” said ING economist Carsten Brzeski.
“However, unfortunately, this is not a ‘good’ disappearance of the trade surplus, driven by stronger domestic demand, but rather a ‘bad’ disappearance, driven by high oil prices. structurally weaker energy and exports,” he added.
A detailed table of German exports and imports is available on the statistics office website.
($1 = 1.0038 euros)
Join now for FREE unlimited access to Reuters.com
Reporting by Rene Wagner and Miranda Murray Editing by Paul Carrel and Kim Coghill
Our standards: The Thomson Reuters Trust Principles.