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German Exports Rose in September as Global Economy Strengthened

By Cornelius Rahn

Nov. 9 (Bloomberg) -- German exports rose more than economists forecast in September as a global recovery stoked demand for goods made in Europe’s largest economy.

Sales abroad, adjusted for working days and seasonal changes, increased 3.8 percent from August, when they fell 2.8 percent, the Federal Statistics Office in Wiesbaden said today. Economists expected a gain of 2.5 percent, the median of 13 forecasts in a Bloomberg News survey showed. Exports still declined 18.8 percent from a year earlier.

Germany emerged from recession in the second quarter and growth probably accelerated in the third as exports picked up and government stimulus measures bolstered domestic spending. The euro’s 19 percent appreciation against the dollar since mid- February may undermine the recovery by making exports more expensive.

“The exchange rate shouldn’t play a role in the coming months,” said Andreas Rees, an economist at Unicredit SpA in Munich. “Exports are the growth driver and we believe that will continue into the fourth quarter. But if the euro strengthens further, and when the impact of the inventory cycle wears off, exports will feel the pinch.”

Imports rose 5.8 percent in September from August, the statistics office said. The trade surplus widened to 10.6 billion euros ($15.8 billion) from 8.1 billion euros in August. The surplus in the current account, a measure of all trade including services, was 9.4 billion euros, up from a revised 4.4 billion euros in the previous month.

Car Sales Surge

Germany’s Daimler AG, the world’s second-largest maker of luxury vehicles, said on Nov. 6 that sales in China rose 55 percent in the 10 months through October from the same period a year earlier.

Still, HeidelbergCement AG, Germany’s biggest cement maker, on Nov. 4 predicted lower operating profit and sales for the fourth quarter as demand from Asia fails to balance weaker business in other areas.

German wine growers on the banks of the river Moselle exported 10 percent less of their famous Riesling in the year through July as demand from the U.S. and the U.K. declined.

The Economy Ministry raised its outlook for the economy on Oct. 16, forecasting growth of about 1.2 percent in 2010 after a 5 percent contraction this year.

To contact the reporter on this story: Cornelius Rahn in Frankfurt at crahn2@bloomberg.net

Last Updated: November 9, 2009 02:00 EST