Europe’s largest economy, Germany is off to a strong start this second quarter. While the United Kingdom is still struggling to boost its export numbers, German exports and industrial output increased more than expected.
German exports went up by 1.9% according to new numbers from the Federal Statistics Office published at the beginning of this week.
While economists predicted German imports to rise by 0.5%, this number instead dropped by 1.3%, adding to the country’s trade surplus.
ING economist Carsten Brzeski to the press: “This morning’s data shows that the economy has left its industrial hibernation behind”. According to him, the newly released numbers are indicating a good start into the second quarter.
Meanwhile, analysts in the United Kingdom are urging that the UK is stepping up its exports. The British government wants to double exports by 2020, yet it’s uncertain whether this goal can be achieved. For instance, exports from the UK to China had been at $16 billion in 2014 while those from Germany had been at $82 billion. This is the more troubling seeing that the United Kingdom has a very rich trading history. Industry analysts agree that stepping up the U.K.’s exports, especially to emerging markets in Asia would be crucial for a better economy in the UK.