Press Gross domestic product: detailed economic performance results for the 2nd quarter of 2025

After positive start to year, economic output sees sharper-than-expected decline

Press release No. 310 of 22 August 2025

Gross domestic product (GDP), 2nd quarter of 2025
-0.3% on the previous quarter (price, seasonally and calendar adjusted)
-0.2% on the same quarter a year earlier (price adjusted)
+0.2% on the same quarter a year earlier (price and calendar adjusted)

WIESBADEN – The gross domestic product (GDP) fell by 0.3% in the 2nd quarter of 2025 compared with the 1st quarter of 2025 after adjustment for price, seasonal and calendar variations. The Federal Statistical Office (Destatis) also reports that the decline in economic performance was therefore 0.2 percentage points greater than communicated in the first release of 30 July 2025. Industrial production, in particular, performed worse than initially assumed. Quarter on quarter, GDP grew by 0.3% in the 1st quarter of 2025, and 0.2% in the 4th quarter of 2024.

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Based on the new data available, in June 2025 output in manufacturing and in the construction industry, in particular, was worse than expected. In addition, household final consumption expenditure for the 2nd quarter of 2025 has been revised downwards due to new information available on the services sectors, such as the monthly statistics of accommodation and food services for June 2025. Taken together, the economic indicators provided between the GDP first release and the latest results led to a deterioration of the overall economic picture in the 2nd quarter of 2025.

Gross domestic product, price adjusted (figures adjusted for seasonal and calendar effects using X13) 
Changes on a quarter earlier (percent):
202320242025
1st qtr2nd qtr3rd qtr4th qtr1st qtr2nd qtr3rd qtr4th qtr1st qtr2nd qtr
-0.5-0.10.0-0.3-0.1-0.30.00.20.3-0.3

Final consumption expenditure up from previous quarter, substantial decline in capital formation

Overall, final consumption expenditure in the 2nd quarter of 2025 was up 0.3% on the 1st quarter of 2025 after price, seasonal and calendar adjustment. Here, household consumption only registered a marginal increase of 0.1%, which was therefore lower than anticipated in the GDP first release. Government final consumption expenditure increased by 0.8% on the previous quarter.

After price, seasonal and calendar adjustment, gross fixed capital formation decreased significantly (-1.4%) in the 2nd quarter of 2025, after registering a slight increase at the start of the year. Gross fixed capital formation in machinery and equipment was down 1.9%. The decline in gross fixed capital formation in construction was even somewhat more pronounced, at 2.1%.

No positive contributions came from foreign trade either. In the 2nd quarter of 2025, total exports of goods and services were down 0.1% from the 1st quarter of 2025, after price, seasonal and calendar adjustment. This was due to a drop in exports of goods (-0.6%), while exports of services rose by 1.4%. Quarter on quarter, imports of goods and services rose again significantly by 1.6%.

Significant decline in gross value added in the construction industry

In the 2nd quarter of 2025, gross value added as a whole decreased by 0.2% on the 1st quarter of 2025 after adjustment for price, seasonal and calendar variations. After a positive start to the year owing to good weather conditions, the construction industry registered a sharper decline (-3.7%) than anticipated in the GDP first release. Following significant growth in the 1st quarter of 2025, the manufacturing sector also had to suffer a setback in the 2nd quarter of 2025. Economic output fell by 0.3% compared with the previous quarter and was therefore also lower than assumed in the first provisional figures released on 30 July 2025. Production was down in almost every sector of manufacturing, with only the manufacture of motor vehicles, trailers and semi-trailers and the manufacture of other transport equipment registering slight growth on the previous quarter. While value added in trade, transport, accommodation and food services also declined (-0.6%), value added in public services, education, health (+0.1%) and in other services (0.0%) remained virtually unchanged. By contrast, a 0.5% increase in economic performance was recorded for both the information and communication sector and the business services sector in the 2nd quarter of 2025.

Gross domestic product down year on year

After price adjustment, GDP in the 2nd quarter of 2025 was 0.2% lower than in the 2nd quarter of 2024. However, there was one working day less in the 2nd quarter of 2025. After price and calendar adjustment, economic performance was therefore up 0.2% on the same quarter of the previous year.

Gross domestic product, price adjusted
Changes on a year earlier (percent):
202320242025
1st qtr2nd qtr3rd qtr4th qtr1st qtr2nd qtr3rd qtr4th qtr1st qtr2nd qtr
0.0-1.1-1.3-1.0-1.1-0.3-0.2-0.40.0-0.2

Capital formation and exports significantly lower than in the previous year – positive contributions from consumption expenditure

The year-on-year decline in the volume of investments continued in the 2nd quarter of 2025, dropping by a price adjusted 1.9%. Compared with the 2nd quarter of 2024, gross fixed capital formation in machinery and equipment fell significantly by 3.9%, which was due, in part, to a decline in commercial motor vehicle registrations. With the construction industry continuing to see above-average price developments, price adjusted gross fixed capital formation in construction fell 2.9%.

By contrast, final consumption expenditure was up on the same quarter a year earlier, increasing by a price adjusted 1.5%. Here, household final consumption expenditure rose by 1.2%, with a particularly sharp increase registered in price adjusted expenditure on goods, such as food and beverages, compared with the 2nd quarter of 2024. By contrast, price adjusted household final consumption expenditure on services, such as food and beverage service activities and accommodation services, only registered modest growth. Government final consumption expenditure was also up (+2.1%) on the same quarter of the previous year, due, in particular, to higher social benefits in kind in the area of statutory health and long-term care insurance.

In the 2nd quarter of 2025, developments in foreign trade remained mixed: Exports (price adjusted) declined substantially by 2.4% from the same quarter a year earlier. While exports of goods decreased significantly (-3.6%), exports of services rose (+1.8%). Lower exports of machinery, chemical products and motor vehicles, trailers and semi-trailers were one of the reasons for the negative development of exports of goods. By contrast, imports of goods and services showed strong growth (+3.3%) compared with the same quarter of the previous year, with imports of both goods (+4.7%) and services (+0.3%) up on a year earlier. The increase in imports of goods was particularly attributable to higher imports of food, metals, electrical equipment and machinery.

Sharp decrease in construction year on year, service branches stagnating

On the whole, price adjusted gross value added in the 2nd quarter of 2025 was down 0.7% on the 2nd quarter of 2024. The downward trend in manufacturing and construction continued, with construction recording the biggest decline in gross value added (-6.9%). While economic performance was down in all three areas of construction, the decline was particularly strong in building completion work. In manufacturing, gross value added was 2.2% lower than in the previous year.

Overall economic performance stagnated in the service branches (0.0%). Price adjusted gross value added in the 2nd quarter of 2025 was up in the aggregate sectors of public services, education, health (+1.2%) and trade, transport, accommodation and food services (+0.4%), in particular. By contrast, the economic performance of business services was down 1.2% compared with the same quarter of the previous year, and other services saw a decline of 0.5%.

Employment almost unchanged

The economic performance in the 2nd quarter of 2025 was achieved by roughly 46.0 million persons in employment whose place of employment was in Germany. This represented an increase of 10,000, or 0.0%, compared with the 2nd quarter of 2024. Persistent declines were registered in manufacturing and construction, whereas employment increased in the service sector (see press release no. 301 of 15 August 2025) (only in German).

On average, fewer hours were worked per person in employment than in the 2nd quarter of 2024 (-0.5%). The labour volume of the overall economy - the higher number of persons in employment multiplied by the number of hours worked per person in employment - was also down by 0.5% in the same period. This is shown by provisional calculations of the Institute for Employment Research (IAB) of the Federal Employment Agency.

Overall labour productivity (price adjusted GDP per hour worked by persons in employment) rose by 0.3% from the 2nd quarter of 2024, according to provisional calculations. Labour productivity per person in employment, by contrast, dropped by 0.2% from the same quarter a year earlier.

Consumption rose more sharply than income, savings ratio down on the previous year

At current prices, GDP in the 2nd quarter of 2025 rose by 2.7% and gross national income increased by 3.1% compared with the previous year. Net national income at factor costs was up 2.7% on the 2nd quarter of 2024. According to provisional calculations, overall compensation of employees rose by 4.8%. By contrast, property and entrepreneurial income dropped by 3.5%. Average gross wages and salaries per employee also went up by 4.3% in the 2nd quarter of 2025 compared with the same quarter a year earlier. The increase in net average earnings (+3.6%) was less pronounced due to markedly higher social contributions of employees.

As household final consumption expenditure increased more (+3.7%) than household income (+2.5%) compared with the same quarter of the previous year, the savings ratio dropped to 9.7%. In the 2nd quarter of 2024, it was 10.8%.

Germany's economy compared with other countries

The economies of the other large Member States of the European Union (EU) and the EU as a whole performed better than that of Germany in the 2nd quarter of 2025. After price, seasonal and calendar adjustment, the biggest GDP growth was reported in Spain (+0.7%). France (+0.3%) and the EU as a whole (+0.2%) also recorded GDP growth compared with the previous quarter. The drop in economic performance was less pronounced in Italy (-0.1%) than in Germany. In the United States (USA), GDP rose by 0.7% on the 1st quarter of 2025.

Year on year, and after adjustment for price, seasonal and calendar variations, Germany's economic performance increased slightly by 0.2%, while the EU as a whole registered significant growth of 1.5%.

Gross domestic product, price, seasonally and calendar adjusted, 2nd quarter 2025
Percentage change:
 USAEuroareaEU 27FranceItalySpainGermany
Previous quarter: change on the first quarter of 2025;
Same quarter of the previous year: change on the second quarter of 2024.
Source: Eurostat, Destatis calculations
Previous quarter0.70.10.20.3-0.10.7-0.3
Same quarter of the previous year2.01.41.50.70.42.80.2

A detailed comparison of the EU Member States’ growth rates is available on the "Europe in figures” page on the Federal Statistical Office’s website.

Revision of previous results back to the year 2008

As is usual at this time of the year, (only in German) the Federal Statistical Office fundamentally reviewed the results published for the last four years (from 2021 onwards) and included new statistical information in the calculation of the results. This resulted in changes of -0.7 to +0.6 percentage points for the quarterly price adjusted GDP data published so far (see the "Comparison between old and new figures” table in the first release of 30 July 2025). More extensive revisions were required than usual, but the scope of these revisions is similar to that of earlier summer revisions - especially in reference years marked by crises (such as the pandemic years of 2020 and 2021).

Structural statistics, for example, serve as a source of new statistical information relating to earlier years. Such information is only available 18 months after the end of each reference year. It is then incorporated into the GDP results, which have been updated in the meantime using monthly and quarterly short-term indicators. Structural statistics contain detailed enterprise data on turnover, investments and, in particular, the cost structure of enterprises; they therefore largely determine the level of GDP. In addition, a new basis has been provided for the price adjustment of earlier years. The data now available from input-output accounts enable a more precise allocation of prices already available, in particular with regard to the production values and intermediate consumption of enterprises. This particular aspect was a challenge with regard to the reference years of 2022 and 2023, which recorded very large price changes, and it contributed considerably to the relatively large GDP revisions. The models and parameters of seasonal and calendar adjustment were also updated as usual during the summer revisions. This led to further changes in the seasonally and calendar adjusted time series.

Departing from the usual approach taken at this time, the results for the years 2008 to 2020 were also reviewed, with only minor adjustments - of no more than 0.1 percentage points - made to the price adjusted GDP. The main reason for the revision was the integration of analysis results regarding the business activities of multinational enterprise groups. These are better represented in the current results up to and including 2024.

Web article offers detailed background information on GDP summer revision

Detailed information on the summer revision of 2025 is provided in the article entitled "Sommerüberarbeitung 2025 der Volkswirtschaftlichen Gesamtrechnungen – Revisionen und Hintergründe" (only in Geman) on the "National accounts, domestic product" page of the Federal Statistical Office’s website.

Compared with the first release of 30 July 2025, there were no changes for the price adjusted GDP up to and including 2024.

Methodological notes:

The differing comparative periods must be taken into account in all press releases on short-term indicators. Short-term economic monitoring focuses on comparisons of seasonally and calendar adjusted figures with those of the previous month or quarter. These reflect short-term economic trends. Year-on-year comparisons enable long-term comparisons of levels and are hardly influenced by seasonal fluctuations.

With its first provisional results for quarterly GPD (first release), the Federal Statistical Office provides an up-to-date assessment of overall economic development as early as roughly 30 days after the end of a quarter. As the availability of data is very limited at such an early release date, first results are always subject to greater uncertainties than the more detailed results. These are generally published 25 days later, around 55 days after the end of each quarter, and their data basis is much more precise, especially as regards the last month of each reference quarter. After that, the results are revised several times to incorporate new statistical information. It takes roughly four years for the results of Germany’s national accounts to be regarded as “final”, but they may be changed later in the course of major revisions. More detailed information on the revisions cycle in national accounts is provided by the revision calendar on the website of the Federal Statistical Office.

More information:

More detailed results are contained in tables 81000 of the GENESIS-Online database and our German publications Fachserie 18 "Volkswirtschaftliche Gesamtrechnungen", Reihe 1.2 "Vierteljahresergebnisse"" and Series 1.3 "Saisonbereinigte Vierteljahresergebnisse nach X13“. A long time series containing quarterly results on the gross domestic product since the first quarter of 1970 is available in the "Volkswirtschaftliche Gesamtrechnungen“ statistical report (only in German).

Germany's GDP can also be found on the Economic Dashboard, which is part of Dashboard Germany (www.dashboard-deutschland.de) (only in German). In this data portal, the Federal Statistical Office brings together up-to-date indicators from official statistics producers and other data providers on the topics of the economy, finance, the labour market, construction, housing, energy and Ukraine. The portal also contains the interactive Economic Pulse Monitor tool (only in German) for real-time economic monitoring.

Gross domestic product
 Unadjusted figuresFigures according to X13
price adjusted
At current pricesPrice adjusted, chain-linkedSeasonally and
calendar adjusted
Calendar
adjusted
EUR billion% 12020 = 100% 12020 = 100% 2% 1 3
1 Change on the previous year or on the same quarter of the previous year.
2 Change on the previous year or on the previous quarter in %.
3 For full years, the calendar adjusted values are equal to the seasonally and calendar adjusted values (except for rounding discrepancies).
qtr = quarter
20213,682.346.7103.913.9103.663.93.9
20223,989.398.3105.791.8105.611.91.9
20234,219.315.8104.87-0.9104.90-0.7-0.7
20244,328.972.6104.35-0.5104.41-0.5-0.5

2021

1st qtr887.590.7101.69-0.7101.68-0.6-0.5
2nd qtr896.1812.7102.6712.0104.072.411.6
3rd qtr932.317.0104.482.8104.160.12.8
4th qtr966.267.0106.812.4104.720.52.4

2022

1st qtr973.149.6105.774.0105.430.73.7
2nd qtr976.138.9104.201.5105.590.21.4
3rd qtr1002.387.5106.171.6105.900.31.7
4th qtr1037.747.4107.020.2105.53-0.30.8

2023

1st qtr1043.527.2105.740.0105.03-0.5-0.3
2nd qtr1031.885.7103.04-1.1104.95-0.1-0.7
3rd qtr1055.505.3104.77-1.3104.950.0-0.9
4th qtr1088.414.9105.92-1.0104.66-0.3-0.8

2024

1st qtr1071.632.7104.57-1.1104.55-0.1-0.4
2nd qtr1063.853.1102.74-0.3104.28-0.3-0.7
3rd qtr1083.072.6104.58-0.2104.300.0-0.6
4th qtr1110.422.0105.50-0.4104.490.2-0.2
20251st qtr1098.212.5104.580.0104.810.30.3
2nd qtr1092.172.7102.56-0.2104.52-0.30.2
Use of the price adjusted gross domestic product
Percentage change
 20242025
1st qtr2nd qtr3rd qtr4th qtr1st qtr2nd qtr
1 Including acquisitions less disposals of valuables and the statistical difference.
2 Contributions to growth of price-adjusted GDP, percentage points.
3 Only seasonally adjusted.
qtr = quarter 
Unadjusted figures
Change on the previous year
Final consumption expenditure0.50.81.51.71.51.5
Household final consumption expenditure0.4-0.10.71.00.81.2
Government final consumption expenditure0.72.93.43.32.92.1
Gross capital formation-6.6-6.9-1.83.92.54.9
Gross fixed capital formation-4.0-3.2-3.2-3.1-1.5-1.9
Gross fixed capital formation in construction-4.9-3.6-2.9-2.1-1.8-2.9
Gross fixed capital formation in machinery and equipment-4.7-4.6-5.9-6.0-4.3-3.9
Other fixed assets-0.10.30.40.23.83.9
Changes in inventories 1 2-0.7-0.80.31.50.81.4
Domestic uses-1.3-1.00.72.21.72.2
Exports-3.40.9-0.8-4.9-1.1-2.4
Imports-4.2-0.51.51.03.03.3
Balance of exports and imports (net exports) 20.20.6-0.9-2.5-1.5-2.3
Gross domestic product-1.1-0.3-0.2-0.40.0-0.2
memorandum item:
GDP per person in employment-1.3-0.4-0.2-0.4-0.1-0.2
GDP per hour worked by persons in employment0.2-0.50.0-0.9-0.30.3
Seasonally and calendar adjusted figures
change on the previous quarter
Final consumption expenditure0.20.60.40.40.30.3
Household final consumption expenditure0.40.10.20.40.60.1
Government final consumption expenditure0.01.81.00.5-0.30.8
Gross capital formation0.1-1.82.53.8-1.70.9
Gross fixed capital formation-0.6-1.6-0.50.60.3-1.4
Gross fixed capital formation in construction0.5-1.7-0.70.70.2-2.1
Gross fixed capital formation in machinery and equipment-0.9-3.1-1.00.00.2-1.9
Other fixed assets-3.11.20.91.10.61.2
Changes in inventories 1 20.20.00.60.7-0.40.5
Domestic uses0.20.10.91.2-0.10.4
Exports-1.00.6-1.7-2.12.5-0.1
Imports-0.31.50.20.21.61.6
Balance of exports and imports (net exports)2-0.3-0.3-0.8-1.00.4-0.7
Gross domestic product (GDP)-0.1-0.30.00.20.3-0.3
memorandum item:
GDP per person in employment-0.1-0.30.00.20.3-0.3
GDP per hour worked by persons in employment 3-0.5-0.70.30.00.1-0.1
Price adjusted gross value added by economic sector
Percentage change
 20242025
1st qtr2nd qtr3rd qtr4th qtr1st qtr2nd qtr
qtr = quarter 
Unadjusted figures
Change on the previous year
Agriculture, forestry and fishing-0.1-0.20.3-0.9-1.4-1.4
Industry, excluding construction-4.7-2.2-2.3-6.6-2.1-1.6
including:
Manufacturing-5.9-2.7-3.1-5.3-1.9-2.2
Construction-3.9-2.6-3.6-5.0-4.4-6.9
Trade, transport, accommodation and food services-0.31.30.6-0.9-0.10.4
Information and communication2.13.52.30.60.60.1
Financial and insurance activities-0.10.8-0.6-2.6-3.4-3.5
Real estate activities1.32.71.40.00.40.3
Business services0.92.30.9-0.6-1.2-1.2
Public services, education, health0.00.91.72.12.01.2
Other services0.21.41.40.80.0-0.5
Gross value added, total-1.00.50.0-1.8-0.6-0.7
Seasonally and calendar adjusted figures
change on the previous quarter
Agriculture, forestry and fishing-0.90.10.2-0.4-1.10.0
Industry, excluding construction-3.4-1.1-1.2-0.61.3-0.1
including:
Manufacturing-1.5-0.8-1.4-0.91.6-0.3
Construction1.0-2.0-2.1-1.31.3-3.7
Trade, transport, accommodation and food services-0.7-0.50.20.30.7-0.6
Information and communication-0.11.10.6-0.90.00.5
Financial and insurance activities0.7-1.2-1.0-0.9-0.2-1.2
Real estate activities0.40.4-0.1-0.60.70.2
Business services0.10.5-0.6-0.6-0.30.5
Public services, education, health0.60.80.40.40.40.1
Other services-0.30.60.5-0.2-0.70.0
Gross value added, total-0.8-0.2-0.4-0.30.6-0.2

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