The German economy contracted slightly by 0.1% in the second quarter of 2025, compared to the previous three months, amid inflationary pressures and weaker external demand.
According to a preliminary reading released by the Federal Statistical Office on Wednesday, this represents a marked slowdown compared to a downwardly revised 0.3% growth in the first quarter of the year, reflecting the impact of global economic pressures, particularly amid trade uncertainty.
Despite the quarterly contraction, the data showed German GDP grew by 0.4% year-on-year in the second quarter.
Eurozone GDP data is scheduled for release later today, amid expectations that the European economy will remain flat after growing by 0.6% in the first quarter of this year