German production rose in September as automakers rebounded, but output across the producing sector contracted in the third quarter, tempering a monthly gain that beat expectations.
The Federal Statistical Office (Destatis) said its provisional, real-terms estimate showed output up 0.7% from August and 0.4% from September 2025 after calendar adjustment. In the third quarter, output was down 0.4% from the second quarter, while gross domestic product rose 0.2% quarter on quarter. The monthly and quarterly figures compare different periods, so September’s gain did not erase the sector’s weakness over the quarter.
Automotive production gained 17.1% month on month after two weaker months that Destatis said were partly affected by factory holidays and production changeovers. Pharmaceutical output rose 8.0% from August. Construction slipped 2.6%, while machinery and equipment production dropped 6.5%, following a 5.8% increase in August.
Destatis also revised August production growth to 1.0% from an initial 2.0%, citing additional construction data. A narrower measure of industry that excludes energy and construction rose 1.7% month on month. Within that measure, capital-goods production increased 3.0%, consumer-goods production rose 0.8% and intermediate-goods production edged up 0.1%.
Manufacturing orders increased 4.4% from August, and rose 5.1% excluding large-scale orders. Destatis revised August’s monthly decline in orders to 10.1%. The figures add context to an earlier report on September’s factory orders.
Reuters reported that economists it polled had expected production to be unchanged. Commerzbank chief economist Joerg Kraemer told Reuters, “All in all, industrial production continues to move sideways at a low level.” The Federal Ministry for Economic Affairs and Energy calendar lists the October production release for Dec. 8.
