Economists credit score US President Donald Trump’s tariff marketing campaign with decreasing commerce between Germany and the US, its high buying and selling associate final yr.
Revealed On 22 Oct 2025
China overtook the USA as Germany’s largest buying and selling associate through the first eight months of 2025, preliminary knowledge from the German statistics workplace has proven.
The information indicated that German imports and exports with China totalled $190.7bn (163.4 billion euros) from January to August, whereas commerce with the US amounted to $189bn (162.8 billion euros), in accordance with Reuters calculations.
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The US was Germany’s high buying and selling associate in 2024, ending an eight-year streak for China. Germany had sought to scale back its reliance on China, citing political variations and accusing Beijing of unfair practices.
However commerce dynamics shifted once more this yr, with US President Donald Trump’s return to the White Home and his renewed tariff campaign.
The tariffs have pushed down German exports to the US, which fell 7.4 % within the first eight months of the yr in contrast with 2024.
In August, exports to the US additionally fell 23.5 % year-on-year, exhibiting that the development is accelerating.
“There isn’t any query that US tariff and commerce coverage is a vital purpose for the decline in gross sales,” mentioned Dirk Jandura, president of the BGA overseas commerce affiliation.
Jandura added that US demand for traditional German export items, equivalent to automobiles, equipment and chemical substances, had fallen.
With the continued tariff risk and the stronger euro, German exports to the US are unlikely to rebound any time quickly, mentioned Carsten Brzeski, international head of macro on the monetary establishment ING.
Exports to China fell much more sharply than these to the US, dropping 13.5 % year-on-year to $63.5bn (54.7 billion euros) within the first eight months of 2025.
In contrast, imports from China rose 8.3 % to $126.4bn (108.8 billion euros).
“The renewed import growth from China is worrying – notably as knowledge exhibits that these imports come at dumping costs,” mentioned Brzeski.
He warned that the development not solely will increase German dependence on China, however might add to emphasize in key industries the place China has change into a significant rival.
“Within the absence of financial dynamism at house, some in Germany could now be anxious by any shifts on world markets,” mentioned Salomon Fiedler, an economist on the financial institution Berenberg.
