22.3 C
New York
Tuesday, June 6, 2023

German BGA trade body lowers 2018 forecast for export growth

German BGA trade body lowers 2018 forecast for export growth© Reuters. Aerial view of containers at a loading terminal in the port of Hamburg

BERLIN (Reuters) – Germany’s BGA trade association has lowered its forecast for export growth this year to 3.5 percent from 5 percent previously, citing weaker demand from abroad in light of rising trade tensions and Britain’s departure from the European Union.

BGA head Holger Bingmann said on Wednesday German exports would expand less dynamically in the second half of the year because global economic growth was slowing. He expects exports growth to be even weaker in 2019.

An escalation of the trade dispute between the United States and China would hit German exporters “without a doubt massively”, Bingmann said.

The United States is Germany’s most important single export destination after the bloc of European Union countries while China is its biggest business partner in overall trade volumes. So the Sino-U.S. tariffs dispute is also hitting German firms.

Turning to Brexit, Bingmann said: “There is the real threat of a no-deal exit which neither side wants.” Such a scenario could disrupt the supply chains of many companies, costing them billions of euros, he warned.

European Union leaders will give British Prime Minister Theresa May a tough reception in Brussels on Wednesday, warning her to rally support at home for the Brexit deal on offer or be cut loose without one in March.

Disclaimer: Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. All CFDs (stocks, indexes, futures) and Forex prices are not provided by exchanges but rather by market makers, and so prices may not be accurate and may differ from the actual market price, meaning prices are indicative and not appropriate for trading purposes. Therefore Fusion Media doesn`t bear any responsibility for any trading losses you might incur as a result of using this data.

Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.

Source: Investing.com

Related Articles

Stay Connected

11,268FansLike
12,893FollowersFollow
735FollowersFollow
- Advertisement -

Latest Articles

Popular Articles