Lena Petrova is reporting on Germany currently facing a significant industrial slump, with a 1.9% drop in industrial output in June, double what was predicted.

https://youtu.be/7MpWFnHspgU?si=7MYoxd7M27rNK-C9

Their slowdown is especially hard as related to machinery based industry. Germany has a export-heavy economy and was the wonder of Europe - Petrova believes Germany is being affected by the US tariffs and in another report she cites Germany as voluntarily cutting itself off from cheaper Russian gas supply which has hastened it’s de-industrialization.

Major companies have lowered their outlooks due to declining sales. In response, the German government is focusing on fiscal expansion, infrastructure projects, and green energy initiatives - so it is not all bad news. State intervention might be their best path.

Also the Bundesbank has warned of economic stagnation in 2025.

Macroeconomic Trends and Risks FAQ

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