The second half of the year began with a setback for Germany's exporters. Exports fell by 2.1% from June to July of the current year. This was announced by the Federal Statistical Office on Friday. Demand for goods "Made in Germany" from important sales markets such as the USA and China fell, and trade with Russia almost came to a standstill.

High energy prices, problems in supply chains and an overall weak global economic environment are weighing on the outlook. A majority of sectors expect a decline in exports in the coming months, according to the latest survey of around 2,300 industrial companies conducted by the Munich-based Ifo Institute.

"Trade is no longer a growth driver, but has become a stumbling block for German growth," analyzed Carsten Brzeski, Chief Economist at ING Germany. VP Bank chief economist Thomas Gitzel is also convinced that the negative sign in the export figures is not a flash in the pan, but will occur more frequently in the coming months: "The export figures are therefore to a certain extent a harbinger of a noticeably weakening global economy."

Nevertheless, compared to the previous year, which was dominated by the pandemic, the July balance sheet is more conciliatory. According to calculations by the Federal Statistical Office, exports increased by 14.3% in July 2021.

According to the Wiesbaden-based statisticians, goods "Made in Germany" worth 131.3 billion euros were delivered abroad in July. From January to July 2022 inclusive, German exports totaled 886.9 billion euros. Despite the economic turmoil caused by the war in Ukraine, this represents an increase of 13.4% compared to the same period last year.

In July, demand for German-made goods fell particularly sharply in the USA, the most important sales market for German exports. Exports there fell by 13.7% compared to the previous month to 12.3 billion euros.

Trade with Russia almost came to a standstill as a result of the sanctions imposed following the Russian invasion of Ukraine. German exports to the Russian Federation fell by a further 15.1% from June to July to a nominal 1.0 billion euros. German imports from Russia fell by more than 17% to 2.9 billion euros - partly because less natural gas flowed from Russia to Germany.

In total, Germany imported goods worth 125.9 billion euros in July. This was 1.5% less than in June 2022, but 29.3% more than a year earlier. Germany is dependent on energy imports from abroad. Oil and gas prices have risen significantly since the start of the war in Ukraine.