German imports, exports seem to have dropped in December

German imports and exports are likely to have dropped in December. According to a Societe Generale research report, exports are expected to have fallen 2.6 percent sequentially, whereas imports are likely to have dropped 2.3 percent in December. This follows a stronger than anticipated data in November.

External demand continues to be uneven, with rebounding demand from eastern Europe and China, offsetting subdued demand from the U.S. and the U.K. Demand is also expected to rebound from within the currency bloc as the rebound gathers strength. Net trade is likely to weakly contribute to the economic growth in the years ahead, compensated by the domestic demand strength.

“The trade surplus is expected to decrease to EUR 19.7 billion in December, after EUR 22.6 billion in November”, added Societe Generale.