Key facts
- German industrial production increased by 1.2% in May compared to April.
- Analysts had forecast a 0.2% rise for May.
- Growth was driven by the automotive, pharmaceutical, and energy industries.
- Pharmaceutical output saw a 10% increase.
- Energy production rose by 10.8% in May.
German industrial production saw a stronger-than-expected increase in May, rising by 1.2% compared to the previous month, according to data from the federal statistics office (Destatis). Analysts had predicted a more modest 0.2% rise.
The growth was significantly boosted by strong performances in the automotive, pharmaceutical, and energy sectors. Notably, pharmaceutical output increased by 10%, and energy production saw a substantial rise of 10.8% in May. This overall increase followed a revised 1.6% decline in April.
Comparing the three-month period from March to May, output exceeded that of the preceding quarter by 1.4%. ING analyst Carsten Brzeski suggested that the data indicates the recent industrial upturn is driven by factors beyond just customers accelerating orders to avoid tariffs, signaling potential momentum for German manufacturing.