BERLIN (Reuters) – German exporters are likely to face a contraction in trade as sentiment in the sector deteriorates at an alarming rate, Germany’s main trade association BGA said on Wednesday.
For 2024, the BGA forecasts a 0.3% decline in exports, compared to a 2.0% decline in imports.
Dirk Jandura, president of the BGA, believes that these forecasts should serve as a warning signal to the German government, adding that 70% of the companies surveyed believed that the measures taken by Berlin were not sufficient or were even counterproductive.
“German trade is facing a recession,” the manager added.
BGA members are concerned about weak European growth, poor business figures in China and the US elections, says Dirk Jandura.
Sentiment has deteriorated significantly since the first half of the year, and exporters do not believe that a recovery in activity is possible during the rest of the year, with the new business component having hit a low, adds Dirk Jandura.
“The ways to save our model as an exporting country are obvious: less bureaucracy, fewer obstacles and above all a clear commitment to more free trade,” concludes the president of the BGA.
(Reporting by Klaus Lauer and Miranda Murray, Corentin Chappron, editing by Kate Entringer)
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