Germany's exports to the United States have significantly declined due to tariffs

Berlin, December 22 (Xinhua) -- The German Economic Research Institute released a report on December 22 showing that due to the impact of the US tariffs, Germany's exports to the United States in the first three quarters of 2025 decreased by nearly 8% year-on-year. The export decline of the three pillar industries of automobiles, chemicals, and machinery manufacturing accounted for nearly 70% of the total export decline. Among them, the export of automobiles and parts to the United States decreased by about 15% year-on-year, while the export of machinery manufacturing and chemical products decreased by nearly 10% each.

The report shows that Germany's export scale to the United States has fallen below the level of 2022. In contrast, between 2016 and 2024, Germany's exports to the United States maintained an average annual growth rate of about 5%. Analysis suggests that the imposition of tariffs by the United States on goods from Germany and other European countries this year is the main reason for the decline in German exports to the United States.

According to an analysis by the German Economic Research Institute, the United States has imposed tariffs of up to 50% on steel, aluminum, and related products, significantly increasing the export costs of German machinery manufacturing companies and becoming an important factor dragging down related exports. In addition to the impact of tariffs, the high domestic energy prices in Germany have led to a decrease in production in the chemical industry, which has also to some extent reduced the scale of exports.

Economist Samina Sultan from the German Institute for Economic Research pointed out that in the expectation that US tariffs will not be significantly reduced in the short term, it is necessary for Germany to reduce its dependence on the US market, accelerate the development of new markets such as South America, India, and Indonesia, and focus on eliminating trade barriers within the EU. At the same time, the international competitiveness of Germany's domestic industries should be enhanced.