Despite the slump in business in Russia, exporters in Germany posted growth in April. Goods with a total value of 126.4 billion euros were shipped abroad that month.
In April, German exports recovered surprisingly strongly from the shock after the outbreak of war in Ukraine. They grew by 4.4 percent on the previous month to 126.4 billion euros due to good business with the USA and the euro countries, as the Federal Statistical Office announced on Friday. Most German exports went to the USA in April, most imports came from China.
Economists surveyed by the Reuters news agency had only expected an increase of 1.5 percent, after there had been a seasonally and calendar-adjusted decline of three percent in March. At 3.1 percent, imports also increased far more than expected this time, after an increase of 3.2 percent in the previous month.
“The big end is yet to come”
However, the Association of German Chambers of Industry and Commerce (DIHK) added water to the wine of good news, pointing out that the figures from the federal statisticians only showed a nominal increase compared to March, but that there was still a minus when adjusted for price. The industry is still groaning under the rapidly rising prices, and there are also supply chain disruptions due to the lockdowns in China. The DIHK warned: “The big end is yet to come.”
Exports to Russia fell by 10 in April because of sanctions in response to the war against Ukraine that began on February 24 and other measures restricting exports .0 percent to just 0.8 billion euros. In March they even dropped by more than 60 percent.
This time, imports from Russia fell by 16.4 percent to 3.7 billion euros. Germany mainly imports oil and natural gas from there. “So the sanctions are reflected in hard numbers,” said the chief economist at VP Bank, Thomas Gitzel. “The trade restrictions against Russia are not just a toothless tiger, they are very obvious.”
Supply chains not yet back on track
German exports to the EU member states increased by 4.2 percent in April, those to the euro countries by as much as 5.9 percent. Exports to the main customer, the United States, increased by 7.7 percent, while those to China fell by 4.5 percent. The People's Republic is currently fighting a new wave of corona with rigid measures, which is also hampering global trade.
“For the next few months, it will be important that exports do not come under the stranglehold of faltering supply chains.” , said the chief economist at Hauck Aufhäuser Lampe Privatbank AG, Alexander Krüger, with a view to China, the most important supplier to the German economy.
According to a survey by the Ifo Institute in May, the mood among German exporters has improved lightened for the second month in a row. “But German industry remains cautious,” said Ifo President Clemens Fuest. “Logistics problems continue to be a major burden.” There are therefore no signs of great dynamics in exports at the moment. The Association of German Chambers of Industry and Commerce (DIHK) expects exports to stagnate this year.
dk/bea (dpa, rtr, afp)