Germany's trade surplus shrinks 22% in H1 2025 as imports rise

Imports into Germany reached €682 billion during the first six months of 2025, a 4.4 per cent increase compared with H1 2024. Higher imports were driven by elevated energy costs, resilient domestic consumption, and the need for intermediate goods in German manufacturing, underscoring the country’s dependence on global supply chains.

Germany’s foreign trade balance, calculated as exports minus imports, stood at €104 billion in H1 2025. While still showing a surplus, this represented a sharp 22.2 per cent drop from €133.7 billion in the same period of 2024. The decline highlights growing pressure on Germany’s traditional export-driven growth model, as stronger imports outpaced flat exports.

The weakening trade surplus signals challenges for Europe’s largest economy, which has long relied on robust exports of machinery, automobiles, and chemicals. With global demand softening, energy costs remaining volatile, and trade frictions affecting competitiveness, Germany faces rising pressure to boost domestic investment and consumption to balance its growth model.

ALCHEMPro News Desk (SG)