• Germany edition
 
German trade surplus hits five-year high
Photo: DPA

German trade surplus hits five-year high

Published: 08 Feb 2013 10:27 GMT+01:00
Updated: 08 Feb 2013 10:27 GMT+01:00

Europe's biggest economy exported a record €1.097 trillion ($1.5 trillion) worth of goods in 2012, an increase of 3.4 percent from the level the previous year, the national statistics office Destatis said.

Imports, too, topped a new record, inching up 0.7 percent to €909.2 billion in the period from January to December.

That meant the trade surplus increased to €188.1 billion in 2012, the highest level since 2007 and the second-highest level since foreign trade statistics began in 1950, Destatis said in a statement.

Nevertheless, trade momentum tailed off sharply towards the end of the year as the effects of the eurozone sovereign debt crisis increasingly left their mark on the region's powerhouse economy, the data showed.

In December alone, exports advanced by just 0.3 percent from November, failing to offset a 2.2-percent decline seen the previous month.

And imports – a measure of domestic demand – actually declined by 1.3 percent after already contracting by 3.8 percent in November. Germany has held up much better to the crisis than its eurozone partners, many of which are in recession.

But with the EU and the single currency area accounting for the lion's share of German exports, the country has not been able to escape the crisis unscathed.

And after growth slowed noticeably throughout the course of the year, the economy actually went into reverse in the fourth quarter, when it contracted by an estimated 0.5 percent. Analysts said the trade data reflect this.

"The overall outlook for trade activity remained extremely poor in the fourth quarter," said Newedge Strategy analyst Annalisa Piazza.

"There are clear risks that trade activity might have been a drag for gross domestic product growth over the quarter," she said.

Destatis is scheduled to publish fourth-quarter GDP data next week.

Natixis economist Johannes Gareis said "the export numbers today confirm our scenario of a weak growth in Germany in the fourth quarter, due to the consistent weakness in world trade."

But he was confident that trade would stabilise in the first quarter of 2013 "as already indicated by leading indicators released this month."

Christian Schulz at Berenberg Bank predicted that "German domestic demand and thus imports should benefit this year from the lifting of the uncertainty related to the euro crisis.

"At the same time, exports could be under pressure from continuing demand weakness in peripheral Europe and the stronger euro exchange rate," he cautioned.

Exports provide a vital part of the German growth mix. Meanwhile eurozone countries struggling to overcome debt problems are working hard to boost their export performance to push up growth and tax income.

AFP/mry

The Local (news@thelocal.de)

Don't miss...X
Left Right

Your comments about this article

11:07 February 8, 2013 by Tonne
Sounds like those austerity measures are really kicking in. Great work there Angie.
11:39 February 8, 2013 by Berlin fuer alles
Was booming because of the cheap Euro bought by Germany at the expense of taxpayers in other Eurozone coutries. Dr. Merkyl and Mr. Hyde squeezed too hard and too long and have managed to kill their goose that laid the golden egg. Well done Angie and your Bankster buddies. Now see how reality bites as it has done in Ireland, Portugal etc.
Today's headlines
Technical glitch & boos kick-off Wagner fest
A scene from the opening night production of "Tannhäuser" at the 2014 Bayreuth Festival. Photo: DPA

Technical glitch & boos kick-off Wagner fest

The opening night Friday of the world-famous Bayreuth Festival, the month-long summer opera extravaganza dedicated to the works of Richard Wagner, was halted for nearly an hour due to a technical hitch while fans were not impressed with the modern take of 'Tannhäuser.' READ  

Lufthansa to resume Tel Aviv flights
A Lufthansa flight at Ben Gurion International Airport. Photo: DPA

Lufthansa to resume Tel Aviv flights

UPDATE: German flag carrier Lufthansa said Friday evening it would resume flights to and from Tel Aviv on Saturday after a four-day suspension due to the conflict in the Gaza strip. READ  

Pro-Gaza, Israel marches choke city centres
Protesters gather in Berlin on Friday. Photo: DPA

Pro-Gaza, Israel marches choke city centres

UPDATE: Pro-Palestinian and pro-Israeli demonstrators marched in Berlin and other cities on Friday's International Quds Day, as thousands of police stood ready to deal with excesses, including anti-Semitism that had marred earlier protests. READ  

Finders, keepers for Berlin cash hunt
Money will be hidden around Berlin. Photo: @HiddenCash/Twitter

Finders, keepers for Berlin cash hunt

A California millionaire, who became an internet phenomenon by hiding cash and tweeting hints about its location, is bringing the frenzy to Germany this weekend. READ  

'Police killer' confesses to shooting officer
Officers searching a field on Thursday near the scene of the killing. Photo: DPA

'Police killer' confesses to shooting officer

UPDATE: A suspect has been arrested following the killing of an off-duty police officer in western Germany on Wednesday night. The shooting sparked a large manhunt near Frankfurt on Thursday. READ  

German tourist shot dead in Kenya
Two foreign tourists were murdered in Mombasa this month. Photo: DPA

German tourist shot dead in Kenya

Kenyan police said on Friday a female tourist shot dead in the coastal city of Mombasa was from Germany, the second such killing of a foreign visitor by gunmen there this month. READ  

Firms would back Russia sanctions '100 percent'
Flowers laid to the victims of the MH17 plane crash at the Korporaal van Oudheusdenkazerne army barracks in Hilversum, The Netherlands. Photo: EPA/JERRY LAMPEN

Firms would back Russia sanctions '100 percent'

German industry would support "100 percent" tougher sanctions against Russia over the Ukraine crisis, the chairman of a major business lobby said on Friday. READ  

Expat Dispatches
What do you love about Germany?
Photo: DPA

What do you love about Germany?

This week's Expat Dispatches is gathering a lengthy list of everything we love about Germany. Blogger and writer Liv Hambrett starts with her reasons why she loves the country. READ  

BSkyB to launch pan-European pay-TV giant
The Murdoch media empire is rolling out a vast new pay-TV network through Europe. Photo: DPA

BSkyB to launch pan-European pay-TV giant

UPDATE: Rupert Murdoch's media empire 21st Century Fox has struck a mega deal with British satellite television group BSkyB to create a pan-European pay-TV giant, both companies said on Friday. READ  

German of the Week
Should we all get €12,000 a year?
Martin Bohmeyer has not worked for money in six months. Photo: DPA

Should we all get €12,000 a year?

What would happen if everyone was suddenly paid €1,000 a month with no strings attached? "Let's try it," says Michael Bohmeyer, who raised the money through crowdfunding and will now experiment with the idea of a basic income for one year. READ  

RECEIVE OUR NEWSLETTER AND ALERTS
Photo: DPA
Education
Top university switches master's courses to English
instagram.com/gotzemario
Gallery
Germany's World Cup stars share their holiday photos
Travel
Plans unveiled for bike trail along former Iron Curtain
Photo: DPA
Sport
Yoga helped Jogi's boys bring World Cup home
Photo: DPA
National
Pressure on police over anti-Semitic protests
Photo: DPA
Gallery
The Local List: 12 best words in German
Photo: DPA
Politics
View from Germany: 'Nobody will win in an economic war with Russia'
Photo: DPA
Business & Money
Jobtalk: How innovative is Germany?
Photo: DPA
Gallery
German Bucket List: How many of these can you tick off?
Photo: DPA
Gallery
Germany's week in pictures: July 12th - July 18th
Photo: DPA
Business & Money
Which workers is Germany short of?
Photo: DPA
Gallery
Ten best expat jobs in Germany: Which one would you choose?
Photo: Europeana.de 1914 - 1918
Gallery
A German soldier's life behind WWI lines
Photo: Shutterstock
Features
Some of the most embarrassing mistakes you can make in German
Education
Raising the bar for law & business in Germany
Photo: DPA
Business & Money
JobTalk: All you need to know about working in Germany
Photo: DPA
Features
The Local List Archive - Your guide to all things German
National
Share news tips with The Local Germany
Sponsored Article
CurrencyFair: Why it pays when making overseas transfers
Sponsored Article
Bilingual school turning education on its head
Latest news from The Local in Austria

More news from Austria at thelocal.at

Latest news from The Local in Switzerland

More news from Switzerland at thelocal.ch

Latest news from The Local in Denmark

More news from Denmark at thelocal.dk

Latest news from The Local in Spain

More news from Spain at thelocal.es

Latest news from The Local in France

More news from France at thelocal.fr

Latest news from The Local in Italy

More news from Italy at thelocal.it

Latest news from The Local in Norway

More news from Norway at thelocal.no

Latest news from The Local in Sweden

More news from Sweden at thelocal.se

3,345
jobs available
Toytown Germany
Germany's English-speaking crowd