Germany reports record-level exports and imports in March

A pick-up in global trade helped Germany post record exports and imports in March, official data showed yesterday, and its trade surplus climbed more than 11 per cent on a 12-month basis to €18.9 billion.

Germany recorded exports worth €98.3 billion while taking in imports worth €79.4 billion, figures published by the national statistics office showed.

“That was the highest monthly figure recorded for both exports and imports since the collection of foreign trade statistics started in the Federal Republic of Germany in 1950,” the national statistics service said.

When adjusted for calendar and seasonal effects, the country’s trade surplus came to €15.2 billion in March, the Destatis office added.

Citing data provided by the German central bank, it said the current account of the balance of payments, a broad measure of a nation’s trade with partners, came to €19.5 billion in March, up from €18.8 billion a year ago.

On an annualised basis, exports by Germany, the world’s second-biggest exporter after China, gained 15.8 per cent in March, while imports were 16.9 per cent higher.

On a monthly basis, German exports were 7.3 per cent stronger and imports were up by 3.1 per cent.

“Though the late Easter should have been an important factor here, this number is indeed very strong,” Commerzbank analyst Ulrike Rondorf said in reference to the export figure, the biggest monthly gain since May 2010.

“Since the trough of the recession, exports have increased by more than 30 per cent, returning to their pre-crisis level,” ING senior economist Carsten Brzeski noted.

“Looking ahead, exports should remain a reliable source fpr growth, even if the pace of export growth is about to slow down,” he added.

A breakdown of the data showed that the biggest 12-month gain in exports was a 20 per cent increase to countries outside the European Union.

Last week, the federation of German machine tool manufacturers, VDMA, said orders for their products, which are highly prized in emerging economies, grew further in the first quarter of 2011, though the pace slowed slightly.

A breakdown of that data showed foreign orders gained 31 per cent.

Overall, however, German industrial orders declined by a surprise four per cent in March from February, the first fall this year, official figures showed on Thursday.

High prices for energy and other commodities have begun to sap global activity, and the pace of growth is forecast to slow later this year.

The German government now expects the economy to expand by 2.6 per cent this year and by 1.8 per cent in 2012.

Commerzbank’s Mr Rondorf said: “We remain very comfortable with our forecast that the German economy will grow by three per cent in 2011.”