German Exports Decline Sharply - BGA Calls for Action

Germany's foreign trade is experiencing a significant downturn, according to the BGA Bundesverband Großhandel, Außenhandel, Dienstleistungen e.V. The association warns that weak global demand and a decline in Germany's own competitiveness are severely impacting the nation's foreign trade. The BGA urges a departure from passive waiting and calls for a broad strengthening of the German business model.

Official statistics reveal a 3.4 percent decrease in German exports in September compared to August, after calendar and seasonal adjustments. On a year-on-year basis, exports in June were down 4.4 percent from June 2023, while imports saw a slight increase of 0.3 percent in the same month. Dr. Dirk Jandura, President of the BGA, expressed concern and called for political action to address Germany's weakening position in global trade.

Jandura emphasized the need for a more business-friendly environment, stating that the government has made it difficult for many businesses, particularly in the SME sector, which form the backbone of the economy. He stressed the importance of creating attractive conditions for innovation and investment to navigate the digital and green transformations, advocating for policies that promote sustainable technologies and digital infrastructure.

Furthermore, the BGA criticized recent government initiatives, such as the "Bureaucracy Relief Act IV" and the growth initiative, as insufficient given the scale of the challenges. Jandura concluded that fundamental structural changes are necessary to prevent Germany from falling further behind and to restore the value of "Made in Germany" for a long-term recovery of both exports and imports.