Konjunktur: Deutsche Wirtschaft wächst im dritten Quartal – trotz Belastungen

The German economy only modestly expanded in the summer despite challenges from the Iran war, according to the Federal Statistical Office. Gross domestic product (GDP) rose by 0.2 percent compared to the previous quarter, slightly above the initial forecast of 0.1 percent. Low water levels in the Rhine, disrupted industrial supply chains, and weaker external trade contributed to the slowdown.

Consumer spending also remained subdued due to high energy prices. Jens-Oliver Niklasch, an economist at LBBW, noted that the current situation is better than initially anticipated, despite negative effects from the drought season and production changes in the automotive industry. As a result, the summer performance fell short of the annual beginning, with an increase of 0.4 percent in the first two quarters. The overall annual growth forecast by the institutes stands at 1.3 percent for the year.