Germany’s industrial production rose 2.0% month-on-month in August 2026, beating market expectations for a 0.5% increase and rebounding from a revised 1.2% decline in July. This was the strongest monthly gain since March 2025, largely driven by a 9.3% surge in the construction sector, including notable increases in specialized construction and finishing trades (13.1%) and in mechanical engineering (5.3%).
Excluding energy and construction, industrial output expanded by 0.6%, supported by higher production of capital goods (1.2%) and consumer goods (0.6%). By contrast, output in the automotive industry fell 5.4%, reflecting typical seasonal factory shutdowns, while energy production declined 0.4%. Production in energy-intensive industrial sectors was down 0.5% compared with July.
On a less volatile three-month basis, industrial output inched up 0.4% in the June–August period relative to the previous three months. Year-on-year, industrial production increased 2.3%, recovering from a 1.8% contraction recorded in July.
