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December Saw German Industry Bounce Back

German industrial companies recorded the largest month-on-month increase in orders since 2020 at the close of 2023.

New business for German industry shot up 8.9 percent in December 2023, according to the country’s Federal Statistical Office. That was the largest monthly increase since June 2020, defying prognoses of stagnation. 

The final quarter of 2023 saw orders rise slightly year-on-year after declining significantly in the first three quarters of last year, compared with 2022. It is unclear whether a lasting comeback in German industry is at hand. 

“More positive data is required to signal a clear economic recorvery,” economist Carsten Brzeski of the online bank ING told business newspaper Handelsblatt.

Large-scale orders, in particular for a large number of airplanes drove the growth. Other sectors that performed well were metals and electronics.

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