Industrial Production Decline in Germany

Germany's industrial sector faced a setback in February, with a 1.3% decrease in production compared to the previous month, according to the Federal Statistical Office Destatis. This decline marks a concerning trend, especially when viewed against a 4% drop from the same period last year.

Sector-Specific Downturns

The construction industry wasn't spared, experiencing a 3.2% decline, while the food industry and energy production sectors saw decreases of 5.3% and 3.3%, respectively. These figures highlight the widespread nature of the downturn across Germany's industrial landscape.

Consumer and Intermediate Goods Impact

Further compounding the issue, the production of intermediate goods fell by 0.4%, and the output of consumer goods decreased by 3.0% from January 2025. This multifaceted decline underscores the challenges facing Germany's manufacturing sector.