German industrial orders slump as large contracts dry up
EWG•German industrial orders fell 10.6% month on month in August, driven by a 61.5% drop in orders for other transport equipment. Excluding large-scale orders, bookings declined 0.1%.
1. Large orders drive decline
August orders fell 10.6% on a seasonally and calendar-adjusted basis, compared with analysts’ expectations for a 1.0% decline. The drop came from a 61.5% slump in orders for other transport equipment, after that category more than doubled in July; excluding large-scale orders, August bookings were down 0.1%.
2. Growth and order outlook
The figures suggest industry may weigh on third-quarter growth after supporting expansion in the first half of 2026. New orders rose 1.3% over June to August compared with the previous three months, while revised July orders increased 3.2%. Economists expect government contracts to support a fourth-quarter rebound, and July data showed the order backlog covered a record nine months.
3. Domestic and foreign orders
Foreign orders fell 5.4% in August, including a 5.4% decline from the euro zone and a 5.5% drop from outside it. Domestic orders decreased 17.3%.
