German export expectations fall in May

Sentiment in the German export industry deteriorated as the Ifo Institute export expectations index fell to minus 5.5 points in May amid ongoing geopolitical uncertainty.

Timo Wollmershauser, head of forecasts at the institute, said the outlook remained challenging despite an upturn in export business in the first quarter.

Wollmershäuser added that geopolitical uncertainty remained high.

The German Chamber of Industry and Commerce also released a foreacast on Tuesday.

The chamber revised its 2026 growth forecast downward for the German economy due to the country’s structural challenges and the impact of geopolitical crises; lowering from 1% to 0.3%.