Germany: Exports and imports contract in September
November 8, 2012
The Euro area crisis continues to weigh on the external sector, with the seasonally adjusted trade surplus dropping to EUR 17.0 billion in September. The reading came in below the EUR 18.1 billion surplus recorded in the previous month but surprised the market on the upside, as analysts expected had the trade surplus to fall to EUR 16.8 billion. Imports contracted a seasonally adjusted 1.6% over the previous month, which contrasted the 0.4% increase recorded in August. Exports contracted as well, swinging from a 2.3% expansion in August to a 2.5% decline in September. In annual terms, export growth recorded a 3.4% contraction in September, which contrasted a 5.7% increase in August. As a result, in the 12 months up to September, exports have increased 4.9%, which was below the 5.6% increase seen in the same period up to August. The Federation of German Wholesale, Foreign Trade and Services (BGA) expects exports to grow up to 6.0%.
Author: Ricardo Aceves, Senior Economist