German factory production, exports slip in November

AP News
|
Posted: Jan 09, 2015 8:34 AM

BERLIN (AP) — German industrial production slipped unexpectedly in November and exports fell more sharply than predicted as Europe's largest economy weakened near the end of 2014, official data showed Friday.

Exports dropped 2.1 percent in November compared with the previous month to 95.2 billion euros ($113 billion), the Federal Statistical Office said. Experts had been predicting a 0.15 percent drop. Imports rose 1.5 percent to 77.6 billion euros, narrowing the country's trade surplus to 17.7 billion euros.

The statistical office also reported that factory production dropped 0.1 percent in November from the previous month in seasonally adjusted terms. Economists had been predicting a 0.3 percent rise.

However, the office revised its October production figure upward to a 0.6 percent month-on-month increase from the original reading of 0.2 percent.

ING-DiBa economist Carsten Brzeski said the releases provide "further evidence that the German economy has not yet fully recovered from the soft spell of the summer."

But, he said, "the economy should gain more momentum in the coming months."

Germany is expected to show modest fourth-quarter growth. Year-end GDP figures for Germany, Europe's largest economy, are due on Jan. 15.