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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.

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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.

Economy

Germany’s economic sentiment stalls as policy doubts deepen

Germany’s economic sentiment held steady in November, with the ZEW index at 38.5. Policy doubts and sector weaknesses persist, while private consumption improved.

Economy

German trade surplus shrinks to 11-month low as imports surge

Germany’s trade surplus fell to an 11-month low in September 2025 as imports surged 3.1%. Exports to the US rebounded but remain down year-on-year.

Economy

Is Europe’s spending boom fuelling a new dangerous debt spiral?

Europe's spending plans are pushing debt levels higher, fuelled by Germany’s stimulus and rising defence budgets. However, as governments ramp up spending, experts warn that markets are becoming less tolerant.

Economy

Eurozone GDP beats forecasts: Portugal emerges as growth leader

Eurozone gross domestic product rose 0.2% in the third quarter of 2025, compared to the previous quarter. Within member states, Portugal recorded the highest growth rate at 0.8%.

Germany

Germany's energy transition: Are costs spiralling out of control?

Germany's municipal authorities are making preparations to phase out gas for central heating. At the same time, the Federal Ministry of Economics wants to rely on gas more to generate electricity and is asking the EU for subsidies to do so.

Economy

Eurozone private sector logs strongest growth in over two years

Eurozone private sector activity rose at its fastest pace since mid-2023 in October, driven by strong services growth in Germany. France lagged with deepening contraction.

Economy

German economic sentiment edges higher but recovery remains fragile

Germany’s ZEW economic sentiment slightly rose in October, yet annual inflation accelerated to 2.4% last month, driven by rising service costs. Markets fell, with the DAX down 0.9%, as renewed US-China trade tensions weighed on sentiment.

Economy

Germany projects a sliver of growth, betting on Merz’s €500bn overhaul

Despite a slightly improved growth projection, Merz’s coalition is banking on infrastructure spending and quicker investment approvals to revive momentum.

Economy

German business sentiment drops: Is the ambitious fiscal plan at risk?

Germany’s business sentiment fell in September, raising doubts over recovery despite fiscal stimulus. Execution delays, labour shortages, and sector bottlenecks risk dragging on growth. Meanwhile, European stocks trail Wall Street as investor focus shifts.