German industrial output fell more sharply than expected in December, adding to concerns over the health of Europe’s largest economy.
According to data released by the federal statistics office on Friday, industrial production declined 1.9% month-on-month in December. This marked a significantly deeper contraction than economists had anticipated.
A Reuters poll of analysts had forecast a much smaller 0.3% decline, highlighting the scale of the downside surprise in the latest figures.
The weaker-than-expected reading underscores ongoing challenges facing Germany’s industrial sector as high energy costs, subdued global demand, and tight financial conditions continue to weigh on manufacturing activity.
