German exports and industrial production plummets in April

The Federal Statistics Office has today announced a severe slump in German exports - the biggest fall since the start of the recession, indicating the economy has some way to go until it recovers.

Exports plunged 28.7% in April compared with April last year falling to €63.8 billion (£55 billion) compared with €89.5 billion in the same month the previous year.

Furthermore, imports dropped 22.9% to €54.4 billion from €70.5 billion in April 2008.

The export-driven economy also suffered a fall of 21.6% in industrial production in April compared with April last year, said the economics ministry.

However, the ministry’s statement said “the downward trend has slowed noticeably and the odds that industrial production has hit its lowest point have improved due to stabilising demand.”

However, one analyst described the figures as “disappointing”. Marco Bargel at Postbank said: “It will take quite some time for German exports to boom again and to support growth. There is a chance that will happen at the end of the year.”

In related news, Germany, which is Europe’s largest economy, saw unemployment rise from 7.6% in March to 7.7% in April.

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