Overview
- Germany’s economy expanded by 0.4 percent in the first quarter, double the initial estimate.
- Economic Minister Katherina Reiche said it is premature to declare a full upswing and warned against misreading temporary boosts linked to U.S. trade tensions.
- Bundesbank President Joachim Nagel projected a modest rise in annual economic output for 2025.
- Analysts expect planned billions of euros in infrastructure and defense investments to underpin a stronger recovery beginning in 2026.
- During her U.S. trip, Reiche met Finance Minister Scott Bessent and Trade Minister Howard Lutnick to press for a swift resolution to tariff disputes.