Germany's new industrial orders fell sharply in August from the previous month

China News Service, Berlin, October 6 (Reporter Ma Xiuxiu) Data released by the German Federal Statistics Office on the 6th showed that after seasonal and calendar adjustments, Germany's new industrial orders fell by 10.6% month-on-month in August, the largest decline since the beginning of this year.

Previously, German industrial new orders had increased for three consecutive months. The analysis pointed out that this sharp decline was mainly due to a significant reduction in large orders in the manufacturing field of transportation equipment such as military vehicles, aircraft, ships and trains. Data show that new orders in this field fell by 61.5% month-on-month that month.

If the factor of large orders is excluded, Germany's new industrial orders in August fell only 0.1% month-on-month.

Data show that in August, new domestic orders in Germany fell by 17.3% month-on-month, and new foreign orders fell by 5.4%, of which orders from the euro area and outside the euro area fell by 5.4% and 5.5% respectively.

German machinery and equipment manufacturers are concerned about continued weak demand in the German domestic market. Johannes Gernandt, chief economist of the German Machinery and Equipment Manufacturing Federation, said the industry is particularly worried that domestic orders will continue to shrink. This shows that Germany, as an industrial location, is currently facing greater pressure and is in urgent need of thorough reform.

Michael Hertrum, an economist at the German United Investment Group, believes that since the autumn of 2025, the situation of German industrial orders has improved significantly. This decline did not fundamentally change the overall positive situation.

He pointed out that currently corporate order books are relatively sufficient. However, whether sufficient orders can actually translate into more economic growth ultimately depends on investment. (over)