German exports grew twice as fast as expected in September, widening the trade surplus in a fresh sign the recovery in Europe's largest economy is holding up well, official data released today showed.
Adjusted for seasonal swings, exports rose by 3.0 per cent on the month and imports fell by 1.5 per cent, the figures from the Federal Statistics Office showed.
A poll had forecast exports would rise by 1.5 per cent, with imports seen gaining 0.6 per cent. "This clear rise is good news," said UniCredit economist Alexander Koch, adding that foreign trade should make a positive contribution to economic growth in the third quarter.
"We're expecting a good result that should be broad-based, with GDP rising by 0.7 per cent, because the retail figures and domestic investment are pointing upwards," he said.
The German economy grew by a record 2.2 per cent in the second quarter, prompting economy minister Rainer Bruederle to talk of an "XL upswing".
Underlining German companies' success in tapping emerging markets for growth, last week beat forecasts for third-quarter profit, with its main gases division on track to achieve record sales as demand in Asia for gases used in mining, chemicals and petroleum refining rises sharply.
The trade figures showed the adjusted trade surplus grew to €15.6 billion from €12.0 billion in August, its widest since October 2008 and compared with expectations for €11.9 billion.
Finance minister Wolfgang Schaeuble defended Germany against criticism over its export surplus in an interview with Der Spiegel news magazine released at the weekend.
"The German export success is not due to any currency tricks but rather due to the improved competitiveness of German companies," said Mr Schaeuble, who also renewed his criticism of the US Federal Reserve's move to buy $600 billion worth of government bonds.
Reuters