German economy shows more signs of growth, with industrial production up 2.4 per cent in June
August 7, 2013 by The Associated Press
German industrial production grew 2.4 per cent in June compared with the previous month, according to official figures released Wednesday, adding a further sign that Europe’s largest economy is picking up steam.
The Economy Ministry said the jump was partly due to seasonal factors that weighed on May’s figures, when production was down 0.8 per cent, revised from an initial drop of 1 per cent. But the June figures also showed that manufacturing businesses appear to have overcome a period of weakness and surveys indicate positive developments to come, the ministry said.
Analysts had predicted far more modest gains of about 0.3 per cent for June.
Citing figures released Tuesday that showed industrial orders rose 3.8 per cent in June, UniCredit Research economist Alexander Koch said Germany appeared to be benefiting from growing demand outside the eurozone and stabilizing sales in the other 16 countries that use the euro currency. Official export figures are released Thursday.
Germany has weathered Europe’s economic turmoil relatively well thanks to robust exports to developing countries and low unemployment.