German exports rise unexpectedly in July

AP News
Posted: Sep 07, 2012 6:19 AM
German exports rise unexpectedly in July

BERLIN (AP) — German exports inched up unexpectedly in July and industrial production also rose more than expected, data showed Friday, despite signs Europe's financial crisis is beginning to take its toll on its largest economy.

Exports rose 0.5 percent in July from the previous month to €92.9 billion ($117 billion), while imports rose 0.9 percent to €76.8 billion over June in figures adjusted for seasonal and calendar variations, the Federal Statistical Office said. Economists had expected both to drop slightly.

Meantime, the Economy Ministry said that industrial production rose by 1.3 percent in July over the previous month. It also revised June figures upward to a drop of 0.4 percent, from the 0.9 percent initially reported.

The report came a day after the ministry reported that industrial orders rose 0.5 percent in July over the previous month, as demand at home offset a decline from within the debt-stricken eurozone. Still, orders were down 4.5 percent in July compared to the same month in 2011, while production was down 1.4 percent compared to last July.

Germany's economy has been doing much better overall than others in the eurozone but there are increasing signs that it isn't immune from the region's crisis, including falling business confidence.

From January to July 2012, total exports were up 5.4 percent over the same period last year to €644.1 billion. They dropped 0.6 percent to other countries using the euro currency, though they rose 1.2 percent to the European Union overall.

Overall exports were also bolstered by a strong 11.8 percent rise to countries outside the European Union.