• 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)

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
Bundesbank warns of ECB 'change of course'
Bundesbank chief Jens Weidmann: Photo: DPA

Bundesbank warns of ECB 'change of course'

The head of Germany's powerful Bundesbank sharply criticised what he called a radical new approach by the European Central Bank of easy money, in an interview published Sunday. READ  

MH17 Crash
Families of German MH17 victims to sue
Australian and Dutch investigators examine a piece of debris of Malaysia Airlines Flight MH17 plane. Photo: EPA/DPA/ Igor Kovalenko

Families of German MH17 victims to sue

Relatives of German victims of downed Malaysia Airlines flight MH17 plan to sue Ukraine and its president for criminal negligence for not closing the country's airspace, a lawyer said Sunday. READ  

Sport
Wonder goal puts new boys Paderborn on top
Paderborn players celebrate after defeating Hanover 2-0 to go top of the Bundesliga. Photo: DPA

Wonder goal puts new boys Paderborn on top

Promoted Paderborn went top of the Bundesliga helped by an extraordinary 80-metre goal at Hanover on Saturday as champions Bayern Munich were held to a goalless draw by struggling Hamburg. READ  

Oktoberfest 2014
Oktoberfest opens to toast millions
Celebrities Carolin Reiber and Marianne Sägebrecht raise their glasses at Oktoberfest 2014. Photo: DPA

Oktoberfest opens to toast millions

Germany's world-famous Oktoberfest kicked off Saturday with the traditional tapping of the first barrel of beer, as millions of revellers are set to soak up the frothy atmosphere in the 16-day annual extravaganza. READ  

Germany plan air lifts to help fight Ebola
A Liberian man holds his daughter as they wait for treatment for suspected Ebola symptoms in Monrovia. Photo: DPA

Germany plan air lifts to help fight Ebola

Germany and France will send military transport planes to West Africa to help efforts to contain the Ebola epidemic, Chancellor Angela Merkel and military officials said on Friday. READ  

Germany beefs up asylum rules for Balkans

Germany beefs up asylum rules for Balkans

Germany made it harder Friday for people from Bosnia-Herzegovina, Macedonia and Serbia to apply for asylum after lawmakers classified the three Balkan countries as safe, with respect for basic rights. READ  

German Muslims rally against extremism
Muslims pray in Kreuzberg, Berlin, on Friday outside a mosque which was damaged in an arson attack. Photo: DPA

German Muslims rally against extremism

Muslims across Germany held a day of prayers and rallies on Friday to condemn both Islamic extremism and a backlash against their faith that has seen arson attacks on mosques. READ  

German military flight to Iraq starts with a hiccup
The trainers on the air strip in Hohn, Schleswig-Holstein. Photo: Bundeswehr.

German military flight to Iraq starts with a hiccup

Military trainers flew to northern Iraq from Germany on Friday, ahead of a huge delivery of weapons from the German military, but things didn’t initially go as planned. READ  

Munich gets four Euro 2020 matches
Photo: DPA

Munich gets four Euro 2020 matches

UPDATE: Munich will play host to four Euro 2020 games, European football’s governing body Uefa announced in Geneva on Friday, but London was the real winner. READ  

Driver, 18, ploughs into school pupils
The scene by the bus stop outside the school in Diepholz. Photo: DPA

Driver, 18, ploughs into school pupils

An 18-year-old drove into a group of students outside a school in western Germany on Friday morning, injuring several. READ  

RECEIVE OUR NEWSLETTER AND ALERTS
Photo: DPA
Culture
Your guide to Munich Oktoberfest's tents
Photo: DPA
Hamburg
Drunk teachers ruin school trip to Hamburg
Marks & Spencer
Sponsored Article
Fashion Ladies of the Local: Win a New Autumn Look
Photo: DPA
Gallery
Oktoberfest 2014: The best and worst in dirndl fashion
Photo: Shutterstock
Gallery
Ten German words you'll never want to hear again
Photo: DPA
Education
German universities tumble in global rankings
Photo: Shutterstock
Business & Money
The three types of firms hiring foreigners
Photo: DPA
Berlin
Frisky couple shock Berlin commuters
Sponsored Article
Bilingual education from nursery to graduation at Phorms
Photo: DPA
Business & Money
JobTalk: All you need to know about working in Germany
National
Share news tips with The Local Germany
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

3,365
jobs available
Toytown Germany
Germany's English-speaking crowd