Editing Economy of Germany (section)

===Federal Republic===
[[File:Containershipxinshanghai.jpg|thumb|{{As of|2013}}, Germany is the third-largest exporter and third-largest importer in the world, producing the largest trade surplus as a national economy.]]
The German economy practically stagnated in the beginning of the 2000s. The worst growth figures were achieved in 2002 (+1.4%), in 2003 (+1.0%), and in 2005 (+1.4%).<ref name=gdpstat>[http://www.destatis.de/jetspeed/portal/cms/Sites/destatis/Internet/DE/Content/Statistiken/VolkswirtschaftlicheGesamtrechnungen/Inlandsprodukt/Tabellen/Content75/BruttoinlandVierteljahresdaten,property=file.xls Bruttoinlandsprodukt (Vierteljahres- und Jahresangaben)] {{webarchive|url=https://web.archive.org/web/20101113234123/http://www.destatis.de/jetspeed/portal/cms/Sites/destatis/Internet/DE/Content/Statistiken/VolkswirtschaftlicheGesamtrechnungen/Inlandsprodukt/Tabellen/Content75/BruttoinlandVierteljahresdaten,property=file.xls |date=13 November 2010}} Statistisches Bundesamt.</ref> Unemployment was also chronically high.<ref name=ciafactbook>{{cite web |url=https://www.cia.gov/the-world-factbook/countries/germany/ |title=CIA Factbook: Germany |publisher=Cia.gov |access-date=2014-08-13 }}</ref> Due to these problems, together with [[Demographics of Germany|Germany's aging population]], the welfare system came under considerable strain. This led the government to push through a wide-ranging programme of belt-tightening reforms, [[Agenda 2010]], including the labour market reforms known as [[Hartz concept|Hartz I - IV]].<ref name=ciafactbook/>

In the later part of the first decade of 2000, the world economy experienced high growth, from which Germany as a leading exporter also profited. Some credit the Hartz reforms with achieving high growth and declining unemployment but others contend that they resulted in a massive decrease in standards of living and that its effects are limited and temporary.<ref name=ciafactbook/>

The nominal GDP of Germany contracted in the second and third quarters of 2008, putting the country in a technical recession following a global and [[Great Recession in Europe|European recession]] cycle.<ref>{{cite news | url=https://www.theguardian.com/world/2008/nov/14/oecd-recession-germany-inflation-deflation | title=Germany officially in recession as OECD expects US to lead recovery | newspaper=The Guardian | date=14 November 2008 | location=London | first=Kathryn | last=Hopkins | access-date=1 May 2010 | url-status=live | archive-url=https://web.archive.org/web/20130904060335/http://www.theguardian.com/world/2008/nov/14/oecd-recession-germany-inflation-deflation | archive-date=4 September 2013}}</ref> German industrial output dropped to 3.6% in September vis-à-vis August.<ref>{{cite news |last=Thesing |first=Gabi |url=https://www.bloomberg.com/apps/news?pid=20601087&sid=aV1q1nQoldKc&refer=home |title=bloomberg.com, German Economy Enters Worst Recession in 12 Years |publisher=Bloomberg.com |date=2008-11-13 |access-date=2014-08-13 |url-status=live |archive-url=https://web.archive.org/web/20100613163056/http://www.bloomberg.com/apps/news?pid=20601087 |archive-date=13 June 2010}}</ref><ref>[https://www.nytimes.com/2008/11/13/business/worldbusiness/13iht-14germany.17791168.html?_r=0 German economy falls into recession] {{webarchive|url=https://web.archive.org/web/20160723024510/http://www.nytimes.com/2008/11/13/business/worldbusiness/13iht-14germany.17791168.html?_r=0 |date=23 July 2016}}, New York Times, 2008-11-13</ref> In January 2009 the German government under [[Angela Merkel]] approved a €50 billion ($70 billion) economic stimulus plan to protect several sectors from a downturn and a subsequent rise in unemployment rates.<ref>{{cite news|url=http://www.france24.com/en/20090106-germany-agrees-new-50-billion-euro-stimulus-plan |title=Germany agrees on 50-billion-euro stimulus plan |publisher=France 24 |date=6 January 2009 |url-status=dead |archive-url=https://web.archive.org/web/20110513022443/http://www.france24.com/en/20090106-germany-agrees-new-50-billion-euro-stimulus-plan |archive-date=13 May 2011}}</ref> Germany exited the recession in the second and third quarters of 2009, mostly due to rebounding manufacturing orders and exports - primarily from outside the eurozone - and relatively steady consumer demand.<ref name=ciafactbook/>

Germany is a founding member of the EU, the [[G8]], and the [[G20]], and was the world's largest exporter from 2003 to 2008. In 2011 it remained the [[List of countries by exports|third largest exporter]]<ref name="CIA exports">{{cite web| url = http://www.worldstopexports.com/germanys-top-10-exports/2061| title = Country Comparison :: Exports| work = The World Factbook| publisher = [[Central Intelligence Agency]]| access-date = 9 August 2012| issn = 1553-8133| url-status = live| archive-url = https://web.archive.org/web/20131028034433/http://www.worldstopexports.com/germanys-top-10-exports/2061| archive-date = 28 October 2013}}</ref> and third largest importer.<ref name="CIA imports">{{cite web| url = https://www.cia.gov/library/publications/the-world-factbook/rankorder/2087rank.html| title = Country Comparison :: Imports| work = The World Factbook| publisher = [[Central Intelligence Agency]]| access-date = 9 August 2012| issn = 1553-8133| url-status = dead| archive-url = https://web.archive.org/web/20081004070323/https://www.cia.gov/library/publications/the-world-factbook//rankorder/2087rank.html| archive-date = 4 October 2008}}</ref> Most of the country's exports are in engineering, especially machinery, automobiles, chemical goods, and metals.<ref name="CIA">{{cite web| url = https://www.cia.gov/the-world-factbook/countries/germany/| title = CIA Factbook| access-date = 2 August 2009| author = CIA| author-link = Central Intelligence Agency}}</ref> Germany is a leading producer of wind turbines and solar-power technology.<ref>{{cite web |url=http://www.german-renewable-energy.com/Renewables/Navigation/Englisch/wind-power.html |archive-url=https://web.archive.org/web/20061210163253/http://www.german-renewable-energy.com/Renewables/Navigation/Englisch/wind-power.html |archive-date=10 December 2006 |title=Wind Power |publisher=Federal Ministry of Economics and Technology |access-date=27 March 2011}}</ref> Annual trade fairs and congresses are held in cities throughout Germany.<ref>{{cite web|title=Euro Fair Statistics 2008 |publisher=AUMA Ausstellungs- und Messe-Ausschuss der Deutschen Wirtschaft e.V. |page=12 |author=UFI, the Global Association of the Exhibition Industry |year=2008 |url=http://www.auma.de/_pages/d/16_Download/download/FKM/EuroFairStatistics_2008.pdf |access-date=24 September 2011 |url-status=dead |archive-url=https://web.archive.org/web/20110718201111/http://www.auma.de/_pages/d/16_Download/download/FKM/EuroFairStatistics_2008.pdf |archive-date=18 July 2011}}</ref> 2011 was a record-breaking year for the German economy. German companies exported goods worth over €1 trillion ($1.3 trillion), the highest figure in history. The number of people in work has risen to 41.6 million, the highest recorded figure.<ref>{{cite news| url= http://www.spiegel.de/international/business/0,1518,805554,00.html| title= Defying the Euro Crisis| work= Spiegel Online| date= 27 December 2011| url-status= live| archive-url= https://web.archive.org/web/20111227161452/http://www.spiegel.de/international/business/0,1518,805554,00.html| archive-date= 27 December 2011}}</ref>

Through 2012, Germany's economy continued to be stronger relative to local neighbouring nations.<ref>[https://www.nytimes.com/2012/04/29/world/europe/germany-looks-to-southern-europe-to-fill-jobs.html Brain Drain Feared as German Jobs Lure Southern Europeans] {{webarchive|url=https://web.archive.org/web/20170126091539/http://www.nytimes.com/2012/04/29/world/europe/germany-looks-to-southern-europe-to-fill-jobs.html |date=26 January 2017}} 28 April 2012</ref> In 2023, Germany experienced economic difficulties as a result of the closure of Russian natural gas resources due to [[International sanctions during the Russian invasion of Ukraine|international sanctions]] following the [[Russian invasion of Ukraine]].<ref>{{Cite web |date=2023-09-19 |title=Germany went from envy of the world to the worst-performing major developed economy. What happened? |url=https://apnews.com/article/germany-economy-energy-crisis-russia-8a00eebbfab3f20c5c66b1cd85ae84ed |access-date=2023-10-23 |website=AP News |language=en}}</ref> Germany imported 55% of its gas from Russia at the time when Russia started the invasion in 2022.<ref name="brookings.edu">{{Cite web |title=How did Germany fare without Russian gas? |url=https://www.brookings.edu/articles/how-did-germany-fare-without-russian-gas/ |access-date=2023-12-28 |website=Brookings |language=en-US}}</ref> Amid a [[Global energy crisis (2021–present)|global energy crisis]], Chancellor [[Olaf Scholz]] committed to weaken dependence on [[Russia in the European energy sector|Russian energy imports]] by halting certification of [[Nord Stream 2]], while also committing to his long-term predecessor Angela Merkel's policy of [[Nuclear power in Germany|phasing out nuclear energy]].<ref>{{cite news |date=9 June 2022 |title=Scholz and liberal finance minister clash over nuclear phase-out |work=[[Euractiv]] |url=https://www.euractiv.com/section/energy-environment/news/scholz-and-liberal-finance-minister-clash-over-nuclear-phase-out/}}</ref><ref>{{cite news |date=14 September 2022 |title=How Bad Will the German Recession Be? |work=Der Spiegel |url=https://www.spiegel.de/international/business/energy-crisis-fallout-how-bad-will-the-german-recession-be-a-9e1f479e-5fef-4e62-b5ca-2f9e87b9bbca}}</ref><ref name="brookings.edu"/>

As of December 2023, Germany is the third largest economy in [[List of countries by GDP (nominal)|nominal]] terms in the world after the United States and China, and the largest economy in Europe. It is the third largest export nation in the world.<ref>{{Cite web |date=5 December 2023 |title=Economic Key Facts Germany |url=https://kpmg.com/de/en/home/insights/overview/economic-key-facts-germany.html}}</ref>

In April 2024, a report by the [[German Economic Institute]] revealed that despite attempts to expand into other markets, the German economy remains heavily reliant on China for various products and raw materials.<ref>{{Cite web |title=Ahead of Scholz trip, study shows German economy still dependent on China |website=[[Reuters]] |url=https://www.reuters.com/markets/europe/ahead-scholz-trip-study-shows-german-economy-still-dependent-china-2024-04-09/}}</ref>

During 2024, the German economy experienced its second consecutive year of contraction. Europe's largest economy declined by 0.2% over the year,<ref>{{Cite web |title=Gross domestic product down 0.2% in 2024 |url=https://www.destatis.de/EN/Press/2025/01/PE25_019_811.html |access-date=2025-01-22 |website=Federal Statistical Office |language=en}}</ref> following a 0.3% contraction in 2023. Germany's trade surplus with the United States, reported by [[Reuters]] to have reached a record €65 billion (£54.7 billion) during the first 11 months of 2024, has made the nation a likely target for potential tariffs from Donald Trump's administration.<ref>{{Cite news |last=Wagner |first=Rene |date=2025-01-10 |title=Germany's trade surplus with US reaches record high as Trump tariffs loom |url=https://www.reuters.com/markets/europe/germanys-trade-surplus-with-us-reaches-record-high-trump-tariffs-loom-2025-01-10/ |access-date=2025-01-22 |work=[[Reuters]]}}</ref> The economic climate has also been affected by widespread layoffs across major German corporations. Companies such as Siemens, Bosch, Thyssenkrupp, and Deutsche Bahn, all featured in the Fortune 500, are estimated to have collectively cut over 60,000 jobs during the first 10 months of 2024.<ref>{{Cite web |date=2025-01-21 |title=Siemens Layoffs 2024: What to Know About the Latest Siemens Job Cuts |url=https://markets.businessinsider.com/news/stocks/siemens-layoffs-2024-what-to-know-about-the-latest-siemens-job-cuts-1033432797 |access-date=2025-01-22 |website=markets.businessinsider.com |language=en}}</ref> Bosch, a highly regarded manufacturing firm, announced in November alone plans to reduce its workforce by approximately 7,000 employees.<ref>{{Cite web |title=Bosch Lays Off 7,000 Employees, CEO Stefan Hartung Says More Layoffs Cant Be Ruled Out |url=https://www.news18.com/business/bosch-lays-off-7000-employees-ceo-stefan-hartung-says-more-layoffs-cant-be-ruled-out-9109016.html |access-date=2025-01-22 |website=News18 |language=en}}</ref>