Germany’s industrial production contracted in January 2026, underscoring renewed weakness in the manufacturing core of Europe’s largest economy. On a year-over-year basis, output fell by 1.09%, according to data updated on 9 March 2026.
The decline marks a clear reversal from December 2025, when industrial production had still been expanding modestly, posting a 0.44% year-over-year increase. The January reading, which compares production levels to those of January a year earlier, suggests that the sector has lost momentum after briefly returning to growth at the end of last year.
The latest figures highlight the fragility of Germany’s industrial recovery, with the shift from positive to negative year-over-year growth likely to feed concerns about the broader economic outlook and the resilience of key export-oriented industries.
