Overview

• Germany's Q1 GDP growth was revised upward to 0.4%, doubling the initial estimate of 0.2%, driven by a strong March performance.
• Manufacturing output and a 3.2% rise in exports, especially in automobiles and pharmaceuticals, were key contributors to the growth.
• Private consumption increased by 0.5% in Q1, supported by easing inflation and higher real wages.
• The Bundesbank warns of potential stagnation in Q2 due to ongoing US tariff pressures affecting exports.
• The federal government plans to introduce a relief package by mid-July, including an electricity tax cut and labor market reforms, to bolster economic resilience.