Overview

• Destatis reported producing‑sector output down 4.3% month over month in August, with core industry alone falling 5.6%.
• New manufacturing orders declined 0.8% from July and 3.3% excluding large contracts, marking a fourth straight monthly drop.
• Automotive production plunged 18.5% and auto orders fell 6.4%, while machinery output dropped 6.2%, pharma 10.3% and electronics 6.1%.
• Foreign demand weakened sharply with overseas orders down 4.1% (eurozone −2.9%, non‑eurozone −5.0%), whereas domestic bookings rose 4.7%.
• Analysts warned the data increase the risk of a weaker third quarter, and the government is set to unveil updated growth forecasts.