Al Mayadeen English

  • Ar
  • Es
  • x
Al Mayadeen English

Slogan

  • News
    • Politics
    • Economy
    • Sports
    • Arts&Culture
    • Health
    • Miscellaneous
    • Technology
    • Environment
  • Articles
    • Opinion
    • Analysis
    • Blog
    • Features
  • Videos
    • NewsFeed
    • Video Features
    • Explainers
    • TV
    • Digital Series
  • Infographs
  • In Pictures
  • • LIVE
News
  • Politics
  • Economy
  • Sports
  • Arts&Culture
  • Health
  • Miscellaneous
  • Technology
  • Environment
Articles
  • Opinion
  • Analysis
  • Blog
  • Features
Videos
  • NewsFeed
  • Video Features
  • Explainers
  • TV
  • Digital Series
Infographs
In Pictures
  • Africa
  • Asia
  • Asia-Pacific
  • Europe
  • Latin America
  • MENA
  • Palestine
  • US & Canada
BREAKING
Al Mayadeen correspondent reports more than 50 people were injured when a bomb exploded in the Mastung area of the Pakistani province of Balochistan.
Iranian Intelligence Minister Esmaeil Khatib: The assassinations were scheduled to be carried out on Saturday with the aim of stirring up national and sectarian strifes in the country
Iranian Intelligence Minister Esmaeil Khatib: A series of attempts to assassinate a number of Sunni scholars, judges, and IRGC officers was thwarted
Twin shootings in Rotterdam led to multiple deaths: Dutch police
Dutch Police: Rotterdam shooter arrested
US imposes fresh Sudan-related sanctions: Treasury Department
Dutch Police: Two were wounded in a shooting in the city of Rotterdam, southwest of the country, and the attacker is still at large
Russia halts nuclear fuel exports to US over lack of insurance: Rosatom
Russian Defense Ministry: Ukrainian drone destroyed over Russia's Bryansk region.
Nagorno-Karabakh announces cessation of existence of unrecognized republic.

German industrial production decreases, concerns about economy rise

  • By Al Mayadeen English
  • Source: Agencies
  • 7 Jul 2023 15:20
  • x

Europe's largest economy is facing a protracted slowdown as the output in the manufacturing hub decreased by 0.2% from the previous month.

  • Steel coil is ready for transport at a steel mill of Germany's biggest producer thyssenkrupp Steel Europe in Duisburg, Germany, Tuesday, May 23, 2023. (AP)
    Steel coil is ready for transport at a steel mill of Germany's biggest producer ThyssenKrupp Steel Europe in Duisburg, Germany, Tuesday, May 23, 2023 (AP)

Unexpectedly, German industrial production decreased in May, according to official statistics released on Friday, stoking concerns about a protracted slowdown in Europe's largest economy.

According to seasonally adjusted data from the federal statistics agency Destatis, output in the manufacturing hub decreased by 0.2% from the previous month.

Financial data company FactSet surveyed analysts who predicted the indicator will show essentially no change.

Carsten Brzeski, an ING economist, cautioned that the most recent data indicated that the "German industry is still stuck in stagnation," adding that "It needs an activity surge in June to avoid an extension of the recession."

In turn, the Federal Ministry for Economic Affairs and Climate Action of Germany sought to be optimistic despite the negative data and said "The recent stabilization of demand points to a recovery -- albeit moderate to begin with -- in the industrial economy in the coming months," and warned that somber indicators in the past two months "have not taken away the risk of a further contraction of the German economy."

Germany's production might shut down if Russian gas halted: Habeck

Related News

Biden's UAW involvement sparks GOP critique

Raising a child costs nearly $240,000, excluding college: US

Europe's largest economy could end up shutting down industrial production if Ukraine's agreement with Russia to transit gas to Europe is not extended, Germany's Economy Minister Robert Habeck warned earlier in June.

The gas transit deal, which is set to expire at the end of 2024, is still a main source of energy for countries such as Italy, Austria, Hungary, and Slovakia, and remains a source of revenue for Kiev, which earns transfer fees by allowing gas passage through its territory.

On May 2, the Federal Statistical Office Destatis said that Germany had officially fallen into recession, revealing that the country's GDP recorded a growth decline in two consecutive quarters.

Read more: German gas giant begging for state funding

In an economic forum in eastern Germany's Bad Saarow, the Vice Chancellor cautioned that policymakers should avoid “making the same mistake again” of presuming that the economy will not be impacted without preparing plans to secure energy supplies.

“There is no secure scenario for how things will turn out,” he stressed.

Germany will have to export gas to Eastern European countries to fill potential demand gaps in accordance with EU rules of sharing energy shortage burdens, leaving German producers with limited or even no gas supplies, he added.

This will make establishing the planned LNG terminals north of the country, a project that would increase storage capacity but is opposed by locals and environmental activist groups, vital to maintaining energy flow to Eastern Germany and Eastern Europe, Habeck said.

Read more: German AfD right wing party secures mayoral win; popularity surges

  • economic crisis
  • economy
  • Industry
  • German Inflation
  • Germany

Most Read

Russia destroyed leopard tank in Ukraine with fully-German crew

Russia destroyed leopard tank in Ukraine with fully-German crew

  • Europe
  • 23 Sep 2023
Blinken’s ‘Variable Geometry’ for a New Cold War

Blinken’s ‘Variable Geometry’ for a New Cold War

  • Analysis
  • 24 Sep 2023
BBC from the front lines in Ukraine: It's bad, counteroffensive failed

BBC from the front lines in Ukraine: It's bad, counteroffensive failed

  • Europe
  • 28 Sep 2023
Zelensky joins Canadian Parliament’s ovation to WWII Nazi soldier

Zelensky joins Canadian Parliament’s ovation to WWII Nazi soldier

  • US & Canada
  • 25 Sep 2023

Coverage

All
Morocco & Libya Disasters

Read Next

All
BBC to restrict top hosts' social media usage
Europe

BBC to restrict hosts' social media for chiding anti-migration remarks

Germany, 'Israel'
Europe

Germany signs 'historic' deal to acquire Israeli-made Arrow 3 system

Secretary of State Antony Blinken speaks during a media briefing at the State Department, Tuesday, Aug. 15, 2023, in Washington. (AP)
Europe

'Never say never': Blinken on Biden-Putin meeting in the future

Plastic found in clouds may contaminate everything we consume
US & Canada

Microplastics in clouds cause 'plastic rainfall', infect everything

Al Mayadeen English

Al Mayadeen is an Arab Independent Media Satellite Channel.

All Rights Reserved

  • x
  • Privacy Policy
  • About Us
  • Contact Us
  • Authors
Android
iOS