Overview

• The DIHK forecasts a 0.3% decline in German GDP for 2025, raising the risk of a third straight year of recession.
• Consumer sentiment has edged up for a third month but remains near historic lows as uncertainty persists.
• Companies are postponing investment because of high energy costs, bureaucratic hurdles and geopolitical trade tensions.
• Only 29% of European firms in China expect growth in the next two years, according to the EU Chamber survey.
• The government’s stimulus measures include plans to cut energy taxes to European minimums and streamline approval processes.