| Consensus | Consensus Range | Actual | Previous | Revised | |
|---|---|---|---|---|---|
| Month over Month | 0.0% | -0.4% to 0.5% | 0.8% | 1.8% | 2.0% |
| Year over Year | 0.8% | 0.9% | 1.1% |
Highlights
Industrial production in November 2025 showed that Germany's manufacturing sector output rose by 0.8 percent month-over-month and year-over-year in real terms, extending the recovery that began in October following a sharp summer setback, 0.8 percent above the consesnsus forecast for the monthly figure.
The rebound was narrowly driven. The automotive sector recorded a strong 7.8 percent monthly increase, alongside notable gains in machinery and maintenance activities, lifting capital goods production by almost 5 percent. These developments point to renewed investment-related demand. However, underlying weaknesses persist. Energy production fell sharply, construction output declined, and both intermediate and consumer goods production contracted, indicating uneven sectoral conditions.
Energy-intensive industries remain a structural drag. Despite marginal short-term stabilisation, output in these branches was significantly lower than a year earlier, reflecting persistent cost pressures and competitiveness challenges. On a cumulative basis, industrial production over JanuaryNovember 2025 remained below 2024 levels.
Encouragingly, forward-looking indicators have strengthened. Rising truck mileage and a sharp increase in new manufacturing orders in November signal improving activity entering the final quarter, supporting cautious optimism for late-2025 and early-2026 industrial performance. These updates bring the RPI to minus 16 and the RPI-P to minus 2, indicating that economic activity remains below expectations for the German economy.
The rebound was narrowly driven. The automotive sector recorded a strong 7.8 percent monthly increase, alongside notable gains in machinery and maintenance activities, lifting capital goods production by almost 5 percent. These developments point to renewed investment-related demand. However, underlying weaknesses persist. Energy production fell sharply, construction output declined, and both intermediate and consumer goods production contracted, indicating uneven sectoral conditions.
Energy-intensive industries remain a structural drag. Despite marginal short-term stabilisation, output in these branches was significantly lower than a year earlier, reflecting persistent cost pressures and competitiveness challenges. On a cumulative basis, industrial production over JanuaryNovember 2025 remained below 2024 levels.
Encouragingly, forward-looking indicators have strengthened. Rising truck mileage and a sharp increase in new manufacturing orders in November signal improving activity entering the final quarter, supporting cautious optimism for late-2025 and early-2026 industrial performance. These updates bring the RPI to minus 16 and the RPI-P to minus 2, indicating that economic activity remains below expectations for the German economy.
Market Consensus Before Announcement
The consensus sees output flat in November from October after a big 1.8 percent rise on month in October.
Definition
Industrial production measures the physical output of the nation's factories, mines and utilities. Data are collected from companies in the sector with fifty or more employees and include mining and quarrying, manufacturing, energy and, in contrast to its Eurozone counterpart, construction.
Description
Investors want to keep their finger on the pulse of the economy because it usually dictates how various types of investments will perform. The stock market likes to see healthy economic growth because that translates to higher corporate profits. The bond market prefers more subdued growth that will not lead to inflationary pressures. By tracking economic data such as industrial production, investors will know what the economic backdrop is for these markets and their portfolios.
Like the manufacturing orders data, the production index has the advantage of being available in a timely manner giving a more current view of business activity. Those responding to the data collection survey account for about 80 percent of total industrial production. Like the PPI and the orders data, construction is excluded.
This report has a big influence on market behavior. In any given month, one can see whether capital goods or consumer goods are growing more rapidly. Are manufacturers still producing construction supplies and other materials? This detailed report shows which sectors of the economy are growing and which are not.
Like the manufacturing orders data, the production index has the advantage of being available in a timely manner giving a more current view of business activity. Those responding to the data collection survey account for about 80 percent of total industrial production. Like the PPI and the orders data, construction is excluded.
This report has a big influence on market behavior. In any given month, one can see whether capital goods or consumer goods are growing more rapidly. Are manufacturers still producing construction supplies and other materials? This detailed report shows which sectors of the economy are growing and which are not.
