Updated

Updated · blackout-news.de · Aug 17

German Corporate Insolvencies Hit 1,689 in July as Exports Reach Record €139.3 Billion

Updated

Updated · blackout-news.de · Aug 17

German Corporate Insolvencies Hit 1,689 in July as Exports Reach Record €139.3 Billion

1 articles · Updated · blackout-news.de · Aug 17

IWH counted 1,689 insolvencies among German partnerships and corporations in July, 7% above a year earlier and 75% above the 2016-2019 July average.
The rise came despite June exports climbing 6.6% year on year to a record €139.3 billion and second-quarter GDP growing 0.9%, because imports rose faster, consumption stayed weak and investment fell.
Germany's trade surplus narrowed to €15.4 billion from €19.3 billion in a month, while exports to the US dropped 14.2% from May and first-half shipments to China fell 12.3%.
More than 13,000 jobs were hit across the largest 10% of insolvent companies in July, up 26% from a year earlier, with manufacturing accounting for nearly 6,000 affected positions.
IWH said leading indicators for future insolvencies reached a new high, pointing to persistently elevated bankruptcy numbers in coming months.

Sources

Are Germany's record exports hiding a deeper industrial collapse as corporate bankruptcies hit a two-decade high?

Could the sudden surge in German insolvencies actually be a necessary market correction paving the way for future innovation?

With intense foreign competition squeezing German manufacturing, will temporary energy subsidies be enough to prevent permanent deindustrialization?

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