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Economy

Germany halves GDP forecast from 1% to 0.5% due to Iran war fallout

The German government has officially halved its economic growth forecast for 2026, citing the severe impact of energy shocks stemming from the Iran war. This revision reflects a significant cooling for Europe's largest economy.

Economy

German business expectations fall to their lowest levels since 2022

German business confidence dropped sharply in April, reaching its lowest point since the 2022 energy crisis.

Economy

Germany cuts fuel tax as oil prices surge on Iran blockade

Following tense exchanges between Economics Minister Reiche and Finance Minister Lars Klingbeil, the government held talks over the weekend. Will the coalition succeed in easing the burden on citizens, or will it collapse?

World News

German soldier suspended after allegedly leaking defence purchase plan

Criminal and disciplinary investigations are reportedly currently underway but further details about the incident have not been released.

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World News

Shocking figures: Every fifth young German wants to emigrate

No future in Germany? Jobs, housing, finances - 20% of young Germans hope for better living conditions abroad. According to a recent study, 41% of 14 to 29-year-old Germans are even interested in emigrating in the long term.

Economy

ZEW index: German investor sentiment hits lowest level in a year

German investor morale has plunged to its lowest level in almost a year, with sentiment in the eurozone also deteriorating, as the Middle East conflict rattles European markets.

Business

BMW profits fall 11.5% to pandemic-era low due to tariffs, China slump

BMW's operating profit fell 11.5% to €10.2 billion in 2025 — its lowest since the Covid pandemic — as tariffs and a China sales slump dragged the automotive segment's margin down to 5.3%.

Business

Rheinmetall expects 45% growth and defence pivot yet shares still fall

German arms maker Rheinmetall posted surging profits and forecast rapid growth for 2026 — but investors do not seem impressed, sending shares lower.

Business

Porsche's €3.9bn writedown cuts automotive profit by 98% in EV retreat

Two one-time charges nearly wiped out Porsche AG's operating profit in 2025, a collapse that highlights the challenges that lie ahead for Europe's long-term EV strategy.

Business

Volkswagen axes 50,000 jobs after profits collapse by nearly half

Volkswagen Group profits slumped by almost half in 2025. Trade conflicts, difficulties in China and the change in strategy at Porsche are putting Europe's largest car manufacturer under pressure.

Economy

Eurozone manufacturing at a turning point? PMI hits 44-month high

Eurozone manufacturing returned to growth in February, hitting a 44-month high as Germany led a factory rebound.

Economy

Investor optimism on European growth hits record high, survey finds

European investor optimism about economic growth has hit a record high, Bank of America’s latest fund manager survey shows, buoyed by hopes of German fiscal stimulus and defence spending.

Business

Sinking star: Mercedes operating profits dropped by more than 50%

Following a year marked by US tariffs and severe competition from China, the German car manufacturer Mercedes recorded a huge drop in operating profits in 2025.

Economy

German economic sentiment climbs to 4-year high, defying Trump tariffs

Germany’s economic confidence jumped to a four-year high in January. ZEW data show stronger optimism in export sectors, though markets remain cautious amid rising trade risks.

Economy

Can Europe's military spending revive economic growth?

Europe is ramping up defence spending, led by Germany, with economists expecting a modest boost to growth. While rising orders support activity, long production lags and structural headwinds may limit the economic pay-off.

Economy

Germany edges back into growth after two years of contraction

Europe’s largest economy returned to modest expansion in 2025, as stronger consumer and government spending offset weaker exports hit by higher US tariffs.

Economy

German trade takes a hit as exports stumble and imports wobble

German exports fell in November 2025, narrowing the trade surplus to €13.1 billion from €17.2 billion a month earlier. The drop was driven by weaker trade with the EU and a steep year-on-year fall in shipments to the United States, while imports from non-EU countries climbed.

Economy

Germany’s export model hit by dual US and China demand slump

Simultaneous falls in exports to the US and China are exposing deep structural weaknesses in Europe’s largest economy, according to a new study.

Economy

German manufacturing contracts again: Is eurozone growth at risk?

Germany's manufacturing sector contracted further in December, dragging down eurozone output. While services remain resilient, inflationary pressures persist.

Economy

Eurozone economy grows again, but one big problem isn’t going away

Services are fuelling eurozone growth, but weak manufacturing and rising costs continue to weigh on the economy.