Despite the weakness of the global economy, geopolitical tensions and high inflation that have put pressure on Germany’s overseas operations, the latest figures released by the Federal Bureau of Statistics show that Germany’s exports grew unexpectedly by 1.2 percent in April 2023, especially with a significant increase in demand in the Chinese market.

These data show that despite Germany’s current economic situation not ideal, its exports continue to grow, to China, with exports increasing by 10.1 percent to 8.5 billion euros, which is linked to further market liberalization in China and increased imports of German goods.

However, this does not cover up the challenges the German economy is facing. In the context of a poor global economic momentum, Germany’s foreign business is under pressure from high inflation, rising market interest rates and low demand. The friction of the supply chain, the decentralization of the global economy and the increase in China’s productivity are all putting pressure on the German economy.

Overall, Germany’s export growth may not change its foreign trade trend, however, this growth provided some support for Germany’s GDP in the second quarter, while strong demand in the Chinese market may somewhat ease pressure on the German economy.