17:00 - 30.04.2025

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April 30, Fineko/abc.az. German GDP had contracted in the final quarter of last year by 0.2%, reigniting fears of recession, which is defined as two consecutive quarters of contraction.

Germany was the only member of the Group of Seven advanced economies that has failed to grow for the last two years, and the tariffs announced by the U.S., its main trading partner, will deal a further blow - potentially putting it on track for a third year of contraction for the first time.

Germany's corporate sector is also struggling with the uncertainty from the U.S. tariffs. Mercedes-Benz (MBGn.DE), opens new tab on Wednesday pulled its earnings guidance and Volkswagen (VOWG.DE), opens new tab said it expects profit margins this year to be at the bottom end of its forecast.

German import prices increased by 2.1% year-on-year in March, the statistics office said. Analysts polled by Reuters had predicted a 2.6% increase.

Since the German economy purchases many primary products and raw materials abroad, higher import prices are reflected in inflation data with a time lag.

Germany will publish national inflation data for April later on Wednesday, with the rate expected to slow to 2.1% from 2.3% the previous month.