Germany

Economic data

German economy

German economy201620182019

 

Economic growth

 1,7 % instead of the expected 2 %1,9 % instead of the expected 2 %
Unemployment6,1 % 4,8 %

 

Companies are struggling to hire; they can no longer find human resources

Budget balance over 1,6%over 1,2%

Source : compilation

 

National GNP

Germany represents the fourth largest economy in the world with a GNP of $3.677 billion compared to $2.583 billion for France, a differential of roughly 30%.
Germany is by far the most important economy in Europe and represents a strategic priority market for any French company.

GNP in billions of $2017
United States19.391
China12.238
Japan4.872
Germany3.677
Great Britain2.622
India2.597
France2.583
Brazil2.056
Italy1.935
Canada1.653
Russia1.578

Source : World Bank

 

 Industrial production

Industry share of gross value added2015
Germany22,8
Japan18,7
European Union15,8
Italy15,8
United States12,3
France11,2
Great Britain9,8

Source : Eurostat

 

Global market share

A small nation on average, Germany accounts for 8.2% of the global world market share, with growth of 8.5%. France represents 3% of the global market share, with growth of 6.7%.

Top 10 exporters of goods by country in 2017:

1- China12.8% market share, +7.9% growth in 2016;
2- United States8.7% market share, +6.6%;
3- Germany   8,2% market share, +8,5%;
4- Japan3,9% market share, +8,3%;
5- Netherlands3,7% market share, +14,1% ;
6- South Korea3,2% market share, +15,8% ;
7- Hong-Kong 3,1% market share, +6,5 %
(share of re-exports 96.7%);
8- France   3% market share, +6,7%;
9- Italy 2,9% market share, +9,6 %;
10- United Kingkom2,5% market share, +8,6%.

 

Top 10 exporters of commercial services in 2017:

1- United States14,5% market share, +3,8% growth in 2016;
2- United Kingdom6,7% market share, +4,9%;
3- Germany  5,6% market share, +7,0%;
4- France 4,7% market share, +5,5%;
5- China 4,3% market share, +8,7%;
6- Netherlands4,1% market share, +15,6%;
7- Ireland3,5% market share, +19,6% (share of re-exports 96.7%);
8- Japan3,4% market share,  6,7 %;
9- India3,4% market share, +11,0%;
10- Singapore3,1% market share, +4,3%.

Source : Le Moci 2018

 

Export of goods – a global comparison for 2017

In 2017, China was by far the world’s largest exporter with $2,263 billion (a slight decline compared to 2015 when it recorded $2,275 billion). It is followed by the United States with $1,547 billion; both are large countries in term of surface area and population.

Germany, an average nation in size and population, remains on the podium as the third largest exporter with $1,448 billion compared to $535 billion for France, the latter placing 8th in the global ranking.

Global exports
in billions of  $

2017
China2.263
United States1.547
Germany1.448
Japan698
Netherlands652
South Korea574
Hong Kong550
France535
Italy506
Great Britain445
Belgium430
Canada421

Source: International Labour Organization

 

 Import of goods – a global comparison for 2017

The world’s largest importers in 2017 are the United States with $2,409 billion and China with $1,842 billion.

Germany is in 3rd place with $1.167 billion, which is testimony to their exceptional level of openness and disallows many to easily argue that business failures can be traced back to following a strict protectionist policy.

What’s more, no one can claim that Germany is an inaccessible market. This presents an opportunity that French companies must absolutely take advantage of.

The problem in Germany is not that it could be considered to have a closed economy, but rather that it is too open, if we can phrase it in this way. It is an openness that places a new market participant in competition with the entire world and which can only be overcome with a particularly well-crafted strategy.

By way of comparison, France imports goods and services are valued at $625 billion.

The largest importers
(in billions of $)
2017
United States2.409
China1.842
Germany1.167
Japan672
Great Britain644
France625
Hong Kong590
Netherlands574
South Korea478
Italy453
India447
Canada442

Source : WTO World Trade Organization

 

German trade balance (in billions of euros)

A continually increasing surplus: €244.9 billion in 2017.
In 2016, the country reached a new export record. Indeed, its exports accounted for 46.9% of GDP, compared to 20.4% in 1993. Imports amounted to 39.1% of GDP, which reflects its consistent level of openness. This results in a trade surplus of 7.8% of GDP.

International trade GermanyExportImportTrade surplus
20171.279,41.034,6244,9
20161.203,8954,9248,9
20151.193,6942, de243,3
20141.123,7910, la213,6
20131.088,0890,4197,6
2010952797,1154,9
2009803,3664,6138,7
2008984,1805,8178,3
2007965,2769,9193,3

Source: German Federal Statistical Office

 

Balance of services

We usually focus on the trade balance.
Services also represent a significant volume of trade

Exports :

  • United States , $762 billion
  • Great Britain, $354 billion
  • Germany, $296 billion
  • France, 249 milliards
Balance of services in 2017
in billions of $
 ExportImport
United States762516
Great Britain354218
Germany296319
France249244
China226464
Netherlands216211
Ireland182196
Japan180189

Source : WTO World Trade Organization