Central Banks

German Industrial Production Declines on Car Manufacturing

  • Europe’s No. 1 economy still struggling to overcome stagnation
  • Data are ‘cold shower’ for hopes of a ‘speedy recovery’

Germany’s economy contracted by 0.1% in the second quarter.

Photographer: Krisztian Bocsi/Bloomberg
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German industrial production dropped in July — highlighting the underlying troubles of Europe’s largest economy after it unexpectedly shrank last quarter.

Output decreased 2.4% from June, worse than predicted by a single analyst in a Bloomberg survey. Automotive was the main driver, though most sectors were down, the statistics office said.