The German economy started 2026 with minimal growth. There was a slight upturn in private consumption. Construction investment fell sharply due to weather conditions, whilst investment in equipment and other capital goods increased.

Following a weak start to the summer half-year, gross domestic product rose by 0.3 percent in the fourth quarter of 2025. At the same time, economic output in Germany was higher than in the previous year for the first time in two years. Industrial production in 2025 was 1.6 percent lower than in the previous year. This was the fourth consecutive decline.