Energy News  
TRADE WARS
Germany loses export crown to China as trade crumbles

by Staff Writers
Frankfurt (AFP) Feb 9, 2010
China overtook Germany last year to become the world's leading exporter as German trade suffered its sharpest slump since 1950, figures from Germany's national statistics office showed on Tuesday.

"According to information from the Chinese Ministry of Commerce, Chinese exports amounted to 1,201.7 billion dollars (876.5 billion euros), while German exports totalled 1,121.3 billion dollars" last year, the Destatis office said.

The total value of 2009 German exports came to 803.2 billion euros, a drop of 18.4 percent, while imports fell by 17.2 percent to 667.1 billion euros compared with 2008, the Destatis office said in a statement.

"This was the highest decline recorded in foreign trade in relation to both imports and exports since 1950," the statement said.

Germany had been the global export champion since 2003, when it wrested the crown from the United States, a Destatis spokesman noted.

Europe's largest economy also reported, however, that exports gained 3.0 percent in December from the previous month, the fourth consecutive monthly rise and a positive sign for the future according to economists.

"The trend in foreign trade is still clearly upwards and contributed positively to economic growth in the fourth quarter," Commerzbank analyst Simon Junker said.

Exports were 3.4 percent higher than in December 2008 -- the first year-on-year gain since the global economic crisis deepened in October 2008 and a key indication that a recovery is underway.

In the end, Berlin posted a trade surplus of 136.1 billion euros for 2009, though that was down from the 178.3 billion euros recorded in 2008.

The economy shrank by five percent last year, Germany's worst recession since World War II, but as consumption and exports slowly recover, the government has forecast growth of 1.4 percent this year.

Germany benefits in particular from EU trade, which accounted for 62.7 percent of its exports last year.

"At least there is one reliable source of growth," ING senior economist Carsten Brzeski said.

"Since March last year, German exports have increased by more than 10 percent."

He noted however that the latest German data releases indicate the recovery lost steam late last year but stressed the overall picture was better than it seemed.

Inventory building would continue to underpin economic activity and trade should get a boost from the euro's fall against the dollar that stemmed from fears generated by debt crises in Greece, Portugal and Spain.

The weaker euro was "bound to be a boon to European exporters," said Howard Archer, chief economist for IHS Global Insight, a research consultancy in London.

Brzeski concluded that "the road might be bumpy but it is the road to recovery and not a dead-end street."



Share This Article With Planet Earth
del.icio.usdel.icio.us DiggDigg RedditReddit
YahooMyWebYahooMyWeb GoogleGoogle FacebookFacebook



Related Links
Global Trade News



Memory Foam Mattress Review
Newsletters :: SpaceDaily :: SpaceWar :: TerraDaily :: Energy Daily
XML Feeds :: Space News :: Earth News :: War News :: Solar Energy News


TRADE WARS
Taiwan to build bridge on former battleground off China
Taipei (AFP) Feb 8, 2010
Taiwan gave the green light Monday for building a bridge between two small islands that it controls off China, in what officials called a first step towards connecting the islets with the mainland. A bridge linking the Taiwan-held Kinmen group of islands with China would be a powerful symbol of improved ties between Taipei and Beijing, as the area is so far best known as the scene of their b ... read more







The content herein, unless otherwise known to be public domain, are Copyright 1995-2010 - SpaceDaily. AFP and UPI Wire Stories are copyright Agence France-Presse and United Press International. ESA Portal Reports are copyright European Space Agency. All NASA sourced material is public domain. Additional copyrights may apply in whole or part to other bona fide parties. Advertising does not imply endorsement,agreement or approval of any opinions, statements or information provided by SpaceDaily on any Web page published or hosted by SpaceDaily. Privacy Statement