German exports fall as global economy slows

Berlin  - German exports fell in October, the nation's statistics office said Tuesday, as slowing global growth undercut foreign orders for Europe's biggest economy.

Adjusted for working days and seasonal factors, exports dropped by 0.5 per cent month on month in October after rising by 0.8 per cent in September.

However, the fall in October was less than expected with analysts having predicted that signs the world economy was rapidly losing momentum would result in German exports slumping by more than 1 per cent. Year on year, exports rose 1.4 per cent in October.

The German economy will contract by 0.8 per cent next year, led by a slump in exports, the nation's central bank, the Bundesbank said in its latest economic projections released last week.

After growing by 4.4 per cent his year, exports will decline by 0.5 per cent next year, according to Bundesbank projections.

Adding to expectations that a sharp downturn has been taking hold in Germany, Tuesday's data showed imports slumping by 3.5 per cent month on month in October. Year on year imports posted a 5.4-per-cent rise.

With the strong drop in imports, Germany's trade surplus widened in October to 16.5 billion euros (21 billion dollars), from 15 billion euros in September, the statistics office said. (dpa)

Business News: 
General: 
Regions: