Germany's central location in the middle of Europe brings with it a closely tied infrastructure network. All European capital cities can be quickly reached by land, air or water from Germany.
Relations with fellow EU member nations are particularly strong. Customs duty exemptions within the EU allow free trade between the community's 28 member states. By the end of 2015, nineteen member countries had introduced the euro as its common currency which has eliminated exchange rate risks which would otherwise prove an obstruction to bilateral trade.
These close relationships are reflected in the significance of the EU as a foreign trade partner. Nearly 60% of all German exports remain within the EU. Around three quarters of all foreign direct investments in Germany – and more than half of all German direct investments overseas – originate from or are made in EU countries.
|Import of Goods||Export of Goods|
|Country of Origin||EUR bn||Destination Country||EUR bn|
Note: Data refers to 2016.
Source: Federal Statistical Office (2017)