2025.11.0507:20:01UTC+00German Factory Orders Rise More than Expected

In September 2025, Germany saw a 1.1% month-on-month increase in factory orders, surpassing market expectations of a 1.0% rise. This marks a reversal from the previous month's revised decrease of 0.4% and is the first increase since April. The growth was bolstered by significant upticks in the production of electrical equipment (9.5%), and in sectors such as aircraft, ships, trains, and military vehicles (7.5%), as well as the automotive industry (3.2%). Conversely, orders for metal products suffered a steep decline of 19.0% after a surge in August, with new orders in metal production and processing also decreasing by 5.6%. Categorically, demand increased for consumer goods (6.2%) and intermediate goods (1.4%), while orders for capital goods remained unchanged. Internationally, orders rose by 3.5%, fueled by increases from both Euro area countries (2.1%) and non-Euro area countries (4.3%), although domestic orders saw a 2.5% decline. When excluding major contracts, the growth in overall orders stood at 1.9%. Over a three-month period, factory orders dipped by 3.3% in the third quarter, with a 1.5% decline when excluding large-scale contracts, underscoring ongoing challenges in industrial activity.