German exports fell more than expected in October, official data showed on Friday, at a time when rising inflation, weaker foreign demand and tensions in supply chains supply fears of a recession in Europe’s largest economy this winter.
Data from the Federal Statistical Office indicates that exports fell 0.6% on a monthly basis, double what analysts had forecast in a Reuters poll. Imports also fell 3.7% in October, leading to a higher trade balance of 6.9 billion euros ($7.26 billion). Imports had been forecast to fall 0.4%.
The statistical office published a detailed table with more economic data.
The German Chamber of Commerce and Industry said last month that German exports are likely to fall by 2% next year due to a sluggish global economy and that nearly half of German companies selling abroad expect a slowdown. economic.
Also last month, German industrial group Thyssenkrupp warned that sales and profits “will plummet” next year as high inflation and energy costs are compounded by an expected recession in Europe.
However, data released last week showed the German economy grew slightly more in the third quarter than preliminary figures suggested, adding to signs that the next recession will not hit as hard as initially feared.
Nearly full gas warehouses in Germany have eased fears of possible rationing in the industry, while growth of 0.4% in the third quarter pointed to a milder recession than many economists originally expected.
A survey published on Thursday showed that the German manufacturing sector continued to see weaker demand in November, but the slowdown came as signs of lower material shortages raised hopes that cost pressures could also ease.