German exports to US tumble as Berlin urges quick trade deal
Exports to the United States, Germany's largest trading partner, fell by 7.7 percent compared to April to 12.1 billion euros ($14.2 billion), federal statistics office Destatis said.
The drop left German exports to the United States at their lowest level since March 2022, came after the initial April announcement by Trump of sweeping 'Liberation Day' tariffs.
The punitive reciprocal rates which could see EU exports hit with a flat 20 percent tariff were first suspended until July 9, before Washington extended the pause till August 1.
Overall, Germany exported a total of 129.4 billion euros' worth of goods in May, a drop of 1.4 percent on the previous month.
Analysts surveyed by financial data firm FactSet had expected the trade barometer to stagnate.
ING bank analyst Carsten Brzeski said May's fall likely reflected a reversal of earlier 'frontloading' after American customers had rushed to get orders in before announced tariffs could take effect.
'This effect has now dissipated,' he said, adding that 'the risk of (more) tariffs hangs like a sword of Damocles over German and European exporters'.
The White House on Monday said it had sent letters to more than a dozen countries detailing the tariffs they would face if they did not reach new trade agreements with Washington by August 1.
Ongoing trade tensions threaten new pain for export powerhouse Germany, whose economy is already reeling from high production costs and intense Chinese competition in sectors from cars to machine tools.
German Chancellor Friedrich Merz last week called on the EU to strike a 'quick and simple' bargain with the United States, saying Germany's 'key industries' needed clarity.
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Rudaw Net
2 hours ago
- Rudaw Net
President Barzani reaffirms Erbil's commitment to boosting ties with Berlin
Also in Kurdistan KDP, PUK reached 'better level' of understanding on KRG formation Banned chemicals threaten Kurdistan Region's fishery amid limited oversight Sulaimani industrial complex blaze burns several warehouses Four youths drown in Duhok A+ A- ERBIL, Kurdistan Region - Kurdistan Region President Nechirvan Barzani on Monday reaffirmed Erbil's commitment to strengthening ties with Berlin during a farewell meeting with outgoing German Ambassador Christiane Hohmann. President Barzani 'praised the level of Germany's relations with Iraq and the Kurdistan Region,' emphasizing the Region's 'desire to continue developing relations and expanding joint cooperation in all fields with Germany,' read a statement from the Region's presidency. He further commended Hohmann for 'her role and efforts in enhancing her country's relations' with Erbil and Baghdad. For her part, Hohmann was cited as reaffirming that Germany 'values its relations with Iraq and the Kurdistan Region and desires to give them further momentum in all sectors and fields.' She further expressed 'appreciation for the support of the relevant parties in the Kurdistan Region in carrying out her duties.' The meeting also addressed key topics including Erbil-Baghdad relations, political developments in Iraq and the Kurdistan Region, as well as broader regional issues involving Syria and neighboring countries. Earlier the same day, Hohmann met Kurdistan Democratic Party (KDP) leader Masoud Barzani to discuss the formation of the Kurdistan Regional Government (KRG) cabinet and ongoing financial disputes between Erbil and Baghdad. She praised Barzani's leadership and reiterated Germany and the European Union's commitment to upholding the Kurdistan Region's constitutional rights. Highlighting the presence of multiple foreign consulates in the Region, the German diplomat described it as 'a message that the Kurdistan Region's entity must be protected and defended.' She also lauded the Region's achievements 'in developing its economic infrastructure and achieving security and stability.'
Rudaw Net
7 hours ago
- Rudaw Net
Masoud Barzani, outgoing German envoy call for stronger ties, renewed partnership with Baghdad
Also in Kurdistan Banned chemicals threaten Kurdistan Region's fishery amid limited oversight Sulaimani industrial complex blaze burns several warehouses Four youths drown in Duhok Man claims detention at Iraqi checkpoint for possessing Kurdish books A+ A- ERBIL, Kurdistan Region - Kurdistan Democratic Party (KDP) leader Masoud Barzani on Monday called for renewed partnership and balance with Baghdad during a farewell meeting with outgoing German Ambassador to Iraq Christiane Hohmann, who reaffirmed Berlin and the EU's support for the Kurdistan Region's constitutional status. Barzani 'thanked Germany and the European Union for supporting the constitutional status of the Kurdistan Region,' his office said in a statement. On relations with Baghdad, he stressed that returning to the principles of consensus, balance and partnership remains the best solution. 'We have not demanded anything more than the constitutional framework, but we are not satisfied with less than what the constitution has granted to the people and the Kurdistan Region,' he added. Tensions between Erbil and Baghdad have escalated since late May, when Iraq's federal finance ministry froze budget transfers, accusing the Kurdistan Regional Government (KRG) of exceeding its 12.67 percent share of federal funds and failing to deliver oil to the State Oil Marketing Organization (SOMO). The suspension has impacted salaries for more than 1.2 million public sector employees in the Region. Barzani and Hohmann also discussed the delayed formation of the new KRG cabinet. Despite parliamentary elections last October, the legislature has convened only once since, as the KDP and Patriotic Union of Kurdistan (PUK) remain deadlocked over key posts. Barzani voiced hope that a new cabinet could be formed before Iraq's general elections in November, a view echoed last month by senior PUK member Saadi Ahmed Pira in an interview with Rudaw's Zana Kayani. Hohmann, for her part, praised Barzani's leadership and reiterated Germany's and Europe's commitment to supporting the Kurdistan Region's constitutional rights. She noted that the large number of consulates in Erbil reflects international recognition of the Region's status, which should be protected and upheld. She also highlighted the Kurdistan Region's progress in economic infrastructure, peace and stability, expressing hope that similar development could reach other parts of Iraq. Barzani likewise said the Region's advances in services - particularly in water and electricity - could serve as a model for improving living conditions across the country. The Kurdistan Region's electricity ministry announced last week that over 2,500 generators have been decommissioned as part of efforts to expand 24-hour power supply to nearly three million residents. Meanwhile, Erbil is preparing to launch a major wastewater recycling project aimed at protecting groundwater and boosting agriculture once tendering is complete. Germany continues to maintain military bases in both Baghdad and Erbil, supporting Iraqi and Kurdish forces as part of the US-led Global Coalition to Defeat ISIS, which was established in 2014 after the extremist group captured swathes of territory in Iraq and Syria.
Rudaw Net
a day ago
- Rudaw Net
Damascus-SDF talks to resume in Paris with Trump administration support: Congressman
Also in World EU remembers Yazidi 'tragedy,' urges action to support return of displaced Yazidis in Germany fear deportation to Iraq Exile and expression: Yazidi artists find voice in Germany Trump tells Rudaw Iran has been acting 'very badly' A+ A- ERBIL, Kurdistan Region - US Congressman Abe Hamadeh held a video call on Sunday with Mazloum Abdi, commander of the Syrian Democratic Forces (SDF), praising the Kurdish-led group as a key ally of the United States in the ongoing fight against the Islamic State (ISIS). In a statement on X, the Republican lawmaker's office quoted him as stating, 'I thanked General Mazloum of the Syrian Democratic Forces (SDF) - the U.S. ally in the fight against ISIS,' noting the group's crucial role and its force of 'over 100,000 fighters trained by U.S.-led coalition forces.' Hamadeh described the SDF as a 'key part of Syria's future,' stressing that 'for over a decade, it has protected the northeast third of Syria, and established a decentralized model that protects Christians, Arabs, Kurds, and others.' The SDF, serving as the de facto military in northeast Syria (Rojava), played a central role in defeating ISIS in 2019 and in detaining thousands of its fighters. It also maintains security at the Roj and al-Hol camps, which hold thousands of individuals suspected of having ties to ISIS. On March 10, Syria's interim President Ahmed al-Sharaa and SDF chief Abdi signed an agreement to integrate all civil and military institutions in Rojava, including the Kurdish-led forces, under the authority of the Syrian state. However, talks on the implementation of the deal are ongoing between the two sides, with differing interpretations of the integration process emerging as a major sticking point. While the SDF wants to join the Syrian army as a unified bloc, Damascus prefers to assimilate SDF fighters individually and distribute them across its own military brigades. Qutaiba Idlbi, director of American affairs at Syria's foreign ministry, on Wednesday confirmed to Rudaw that the two parties will 'soon' meet in the French capital to finalize integration talks. Hamadeh also noted that the negotiations 'will resume in Paris with [Donald] Trump Administration support,' aiming to move Syria away from 'the former [Bashar al-Assad] regime's failed approach of intimidation and retaliation, and toward a system grounded in protecting the rights and freedom for all.' The Republican congressman emphasized that the US administration 'continues to maintain open channels with all parties in Syria committed to peace,' and emphasized the SDF's request for 'time and space to strengthen their inclusive governance framework in Syria's interim process.'
