German economy posts better than expected growth in Q1
- Germany's economy grew by 0.2 percent in the first quarter of 2025, exceeding analysts' forecasts for 0.1 percent growth.
- This growth follows two years of contraction due to surging energy prices, supply chain issues, and weak overseas demand, with new US tariffs posing further risks.
- Improving household consumption and investment supported the quarterly growth, while exports and industrial production also contributed positively.
- Destatis reported the provisional GDP figures, noting growth was higher than expected and calling it rare good news for Germany's struggling economy.
- Despite this start, the government downgraded 2025 growth forecasts to zero, warning that US tariffs could undermine the recovery, making economic improvement a key challenge for incoming chancellor Friedrich Merz.
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Economic growth: Donald Trump's paradoxical farewell gift to Robert Habeck
Germany overtakes the United States: while the American economy shrank in the first quarter, the Federal Republic of Germany achieved stronger growth. An extremely rare phenomenon, which also calls into question Trump's erratic economic policy.
·Dortmund, Germany
Read Full ArticleGerman economy posts better than expected growth in Q1
FRANKFURT, Germany — The German economy grew faster than expected at the start of the year in a boost for the struggling eurozone powerhouse, data showed Wednesday, but US tariffs threaten to halt the nascent recovery. Gross domestic product (GDP) in Europe’s biggest economy expanded 0.2 percent from January to March compared to the previous
·Manila, Philippines
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