US overtakes China as Germany’s top trading partner

The United States surpassed China as Germany’s largest trading partner in the first half of 2024, according to preliminary data from the German statistics office. Trade with the US totalled approximately 127 billion euros ($139 billion), while trade with China reached 122 billion euros.

The US had already surpassed China in the first quarter. This shift reflects Germany’s strategy to reduce dependence on Beijing amid political differences and concerns about “unfair practices,” despite unclear policy measures.

German exports to the US increased by 3.3 per cent to nearly 81 billion euros, whereas trade with China shrank by nearly 3 per cent to just over 48 billion euros. Imports from China fell by almost 8 per cent to 73.5 billion euros, while imports from the US decreased by 3.4 per cent to 46.1 billion euros, bolstered by energy supplies.

Lola Machleid of the German Chamber of Industry and Commerce (DIHK) noted that the resilient US economy has supported German exports. However, she also pointed out that geopolitical uncertainties and economic instability make future trends difficult to predict.

Attribution: Reuters