Germany's industrial orders fell for the fourth consecutive month in August, underscoring the persistent weakness in the manufacturing sector as sluggish foreign demand offset a sharp rebound in domestic orders, according to official data released on Tuesday.
Incoming orders declined by 0.8 percent month on month, the Federal Statistical Office (Destatis) reported. Domestic orders rose by 4.7 percent following a steep drop in July, while foreign demand continued to weaken, falling 4.1 percent in August.
The overall decline was driven largely by a 6.4 percent slump in orders from the automotive industry, according to Destatis.
Industrial demand in Germany has remained highly volatile this year, reflecting the challenges facing Europe's largest economy as it struggles to recover amid U.S. trade tariffs. Orders had shown signs of recovery earlier in the year, supported by front-loaded exports to the United States ahead of tariff hikes. However, momentum faded once the new duties took effect, and subsequent trade policies from Washington have added further pressure on German manufacturers.
Data from Destatis showed that new orders from outside the Euro area continued to decline sharply after rising until May, with a month-on-month drop of 5 percent in August.
German industrial orders drop for 4th consecutive month as foreign demand slumps
