German industrial output grows in April ’25

Germany’s manufacturing output rose at the quickest pace in over three years in April, supported by a rebound in export orders, the HCOB Germany Manufacturing PMI showed.

The headline index edged up to 48.4 from 48.3 in March, its highest level since mid-2021, though still below the 50.0 threshold signalling growth.

Production expanded for a second straight month, driven by investment goods, with firms citing stronger demand and efforts to build inventories. New orders rose slightly, helped by improved foreign sales in Europe and Asia, including pre-emptive buying amid fears of new tariffs.

Despite the output rebound, employment continued to decline—though at the slowest pace since June 2023—as backlogs fell sharply. Business confidence slipped to a year-low, with firms citing tariff risks and economic uncertainty.

Input costs dropped at the steepest rate in over a year, aided by a stronger euro and lower commodity prices, yet output prices rose marginally for the first time since 2022. Supplier delivery times shortened again, reflecting subdued demand for inputs.

Attribution: Amwal Al Ghad English
Subediting: M. S. Salama