Preliminary data shows German GDP grew 0.2% in Q2, driven by exports, while consumer spending and investment lagged.
Germany’s economy expanded by 0.2% in the second quarter, exceeding the 0.1% quarterly growth forecast. The preliminary GDP print reflects a slight improvement from the revised 0.4% growth in Q1, though underlying demand remains weak.
Exports were the primary driver of growth, while consumer spending stayed subdued and investment declined. Analysts caution that sustained momentum may prove difficult in the second half of 2026 amid geopolitical tensions and rising energy costs.
The final GDP breakdown, including sector-level details, will be released in the coming weeks. Markets may view the headline figure as modestly encouraging, though risks to the outlook persist.