German industrial production drops, exports sink

7th Nov 2024 08:42

(Sharecast News) - Industrial production in Germany dropped by more than expected in September, according to figures from Destatis, while the country's trade surplus shrank as exports declined.

Industrial production decreased by 2.5% in September after a revised 2.6% gain in August, the Federal Statistical Office reported on Thursday.

This was much worse than the 1.0% decline expected by the market, and put production 4.6% lower than last year following a 3.0% annual decline the month before.

Destatis said that automotive production tanked 7.8% over September, pulling back sharply after a 15.4% surge in August. Production across the chemical industry also fell 4.3%, while the manufacture of machinery and equipment improved by 1.7%.

As for the trade figures, the German trade surplus shrank more than forecast to €17.0bn in September, from €22.5bn the month before, well below the €20.9bn consensus estimate.

Exports dropped by 1.7% over the month to €128.2bn, with exports within and outside the EU both falling from August. At the same time, imports jumped 2.1% to €111.3bn.