Germany to grow 0.1% in 2025 from 0.8% expected in September, German economic institutes say

Alemania Economía

Norbolsa | German economic institutes last week downgraded growth expectations for the German economy to 0.1% in 2025 from 0.8% expected in September, when considering Trump’s tariffs on steel, aluminium and cars. The tariffs announced on April 2, but suspended on Wednesday, could further drain the German economy and lead to a third consecutive year of contraction, the institutes said, although they did not include them in their economic projections. The labour market is also expected to suffer further, with the unemployment rate rising to 6.3% (6% in 2024) and inflation falling to 2.2% in 2025 and 2.1% in 2026.

About the Author

The Corner
The Corner has a team of on-the-ground reporters in capital cities ranging from New York to Beijing. Their stories are edited by the teams at the Spanish magazine Consejeros (for members of companies’ boards of directors) and at the stock market news site Consenso Del Mercado (market consensus). They have worked in economics and communication for over 25 years.