The economy USA overtakes China as Germany's most important trading partner
The United States overtook China as Germany's largest trading partner last year. For the first time since 2016, Germany traded more goods with the USA than with China.
19.01.2025, 13:29
SDA
This is according to an unpublished study by the German economic development agency "Germany Trade & Invest" (GTAI), which was also made available to the news agency DPA.
According to the preliminary data, German exports and imports with the USA rose to around 255 billion euros in 2024 in the shadow of the imminent inauguration of US President-elect Donald Trump. This means a lead of eight billion euros over the second most important trading partner, China. The Netherlands, France and Poland follow in second place.
Germany runs the risk of being caught between the fronts in the event of renewed tariff disputes between its two most important economic partners: "It is still unclear to what extent the USA under Trump will target the EU, and therefore Germany, in its trade policy." According to GTAI, there is also the threat of an intensification of the US-Chinese trade conflict and corresponding pressure on Germany to join the USA.
Tariffs could hit German companies hard
Economists fear trade conflicts and counter-reactions from affected countries, which could, in the worst case, destroy hundreds of thousands of jobs in Germany. Trump's tariff plans could cost Germany one percent of its economic output, Bundesbank President Joachim Nagel has warned.
However, Simone Menne, President of the American Chamber of Commerce in Germany (AmCham Germany), warns against panic. "There were many announcements during Trump's first term in office, but not all of them were implemented," Menne told the German Press Agency. She advises calmness. There is no need to rush.
German foreign trade on the decline
In 2022, trade between Germany and China was still worth almost 300 billion euros. The slump in exports to China, which fell by around 6.4 percent in 2024, is now particularly striking.
According to Germany Trade & Invest, one reason for this is the continued weakness of the Chinese economy, while the USA benefited from investment programs and a robust economy. German foreign trade as a whole declined in 2024, with a drop of around two percent. Exports of cars, car parts and other vehicles to China were particularly hard hit.
According to the study, German companies are increasingly looking for alternatives to China, for example in Vietnam. Its trade with Germany grew by more than eleven percent in 2024. Poland also established itself as an important market, and trade with the United Kingdom recorded a slight recovery after Brexit.
