| Actual | Previous | Revised | |
|---|---|---|---|
| Balance | €10.8B | €6.9B | €6.8B |
| Imports - M/M | -3.3% | -3.7% | -2.4% |
| Imports - Y/Y | 14.8% | 17.6% | 19.4% |
| Exports - M/M | -0.3% | -0.6% | 0.8% |
| Exports - Y/Y | 13.3% | 9.8% | 11.4% |
Highlights
The seasonally adjusted merchandise trade balance was in a €10.8 billion surplus in November, up from a marginally smaller revised €6.8 billion in October and a 10-month high. Unadjusted, the black ink was €11.1 billion, just a €0.2 billion deterioration from a year ago.
Exports fell a monthly 0.3 percent after a 0.8 percent gain last time, mainly reflecting declines in purchases from the U.S. and China. However, imports were down a much steeper 3.3 percent, their third fall in as many months. At 13.3 percent, annual unadjusted export growth was up from 11.4 percent and only just short of the 14.8 percent import rate. Exports to the Russian Federation rose by 12.3 percent on the month but fell some 52.9 percent compared with November 2021. Imports from Russia dropped a monthly 12.2 percent.
Total net exports provided a modest net boost to real GDP growth in the third quarter.
Exports fell a monthly 0.3 percent after a 0.8 percent gain last time, mainly reflecting declines in purchases from the U.S. and China. However, imports were down a much steeper 3.3 percent, their third fall in as many months. At 13.3 percent, annual unadjusted export growth was up from 11.4 percent and only just short of the 14.8 percent import rate. Exports to the Russian Federation rose by 12.3 percent on the month but fell some 52.9 percent compared with November 2021. Imports from Russia dropped a monthly 12.2 percent.
Total net exports provided a modest net boost to real GDP growth in the third quarter.
Definition
The merchandise trade balance measures the difference between imports and exports of goods. The level of the international trade balance, as well as changes in exports and imports, indicate trends in foreign trade and can offer a guide to an economy's competitiveness.
Description
Changes in the level of imports and exports, along with the difference between the two (the trade balance) are a valuable gauge of economic trends here and abroad. While these trade figures can directly impact all financial markets, they primarily affect currency values in foreign exchange markets.
Imports indicate demand for foreign goods and services in Germany. Exports show the demand for German goods in countries overseas. Given the size of the German economy, the euro can be sensitive to changes in the trade balance. The bond market is also sensitive to the risk of importing inflation. This report gives a breakdown of trade with major countries as well, so it can be instructive for investors who are interested in diversifying globally. For example, a trend of accelerating exports to a particular country might signal economic strength and investment opportunities in that country.
Imports indicate demand for foreign goods and services in Germany. Exports show the demand for German goods in countries overseas. Given the size of the German economy, the euro can be sensitive to changes in the trade balance. The bond market is also sensitive to the risk of importing inflation. This report gives a breakdown of trade with major countries as well, so it can be instructive for investors who are interested in diversifying globally. For example, a trend of accelerating exports to a particular country might signal economic strength and investment opportunities in that country.
