Economic situation - German industrial production falls sharply
The production of the German industry is strongly declining. The Statistical Office in Wiesbaden announced that in May, the total production fell by 2.5 percent compared to the previous month. This is the most noticeable setback since the end of 2022. Analysts had on average calculated a slight increase of 0.1 percent. Compared to the previous year, production dropped by 6.7 percent. The weak production data follow disappointing order numbers from the previous day.
"The significant minus in industrial production once again makes it clear that a rapid and substantial economic recovery is not in sight everywhere," said Jörg Kraemer, chief economist at Commerzbank. After a stagnation of economic output in the second quarter, only a bloodless upward movement can be expected.
- The Economic situation in Germany's Industry, as reported by Destatis, has been consistently negative, with industrial production decreasing for several months now.
- The latest figures from Destatis in Wiesbaden reveal that the decrease in industrial production in May was more significant than anticipated, with a fall of 2.5% compared to the previous month.
- Due to the consistent decline in industrial production, analysts are now revising their projections for Germany's economic growth, predicting a slow and gradual recovery rather than a rapid one, as previously suggested.
