Exports to the USA are significantly down - Exports to the USA are significantly down
Germany’s key industries are facing sharp declines in exports to the US this year. The machinery, automotive, and chemical sectors have all been hit hard by rising costs and trade barriers. New US tariffs on steel and aluminium, now at 50%, have worsened the situation since June 2025.
The machinery sector has seen exports to the US collapse under the weight of punitive tariffs. Steel and aluminium costs have surged, pushing up production expenses and cutting output by 5% in 2025. Companies reliant on these metals are struggling with higher input costs, bureaucratic hurdles, and growing uncertainty.
The automotive industry has suffered the most. Exports of passenger vehicles and auto parts to the US dropped by around 15% in the first nine months of the year. Overall, German exports to the US fell by 8% in the same period compared to 2024. In the chemical sector, soaring energy costs have forced production cuts at home. This has further weakened exports to the US market. Together, the three industries have seen a 70% decline in US-bound shipments.
The combined impact of tariffs, energy prices, and reduced production has hit Germany’s top export sectors hard. Machinery, automotive, and chemical firms are now facing lower demand and higher costs. The trend shows no immediate signs of recovery as trade tensions persist.
