Germany posts 0.3% Q2 GDP growth
Germany’s economy grew 0.3% quarter-on-quarter in the second quarter of 2026, a step up from the initial 0.2% reading and supported by stronger exports. The manufacturing sector led the gains, with broad export strength helping to lift overall value added and keeping the recovery momentum intact. Domestic demand remained uneven, as gross fixed capital formation fell and household and government consumption rose only modestly, each around 0.1%. A broader data revision also adjusted historical figures, with trade data showing more robust export performance in June and imports rising more slowly than exports. On an annual basis, GDP firmed to about 1%, underscoring a continued but cautious healing of the economy. Analysts point to the export-led improvement as a positive signal for the economy, while noting that domestic investment weakness and sectoral disparities persist.
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