Rebound?

More like a dead cat bounce.

German Economy Grows by 0.3% in Q4, Stats Office Says – The German ​economy ‌grew ‌by ⁠0.3% in ⁠the fourth quarter ​of ​2025 compared ⁠with ⁠the ⁠previous quarter, the ​statistics ​office ⁠said ⁠on Wednesday, confirming its ⁠preliminary reading.

Meanwhile… German auto exports to China plunged by a third in 2025, economic institute says.

German of the day: Es geht um die Wurst

“It’s about the sausage” or “it’s down to the sausage” means it’s now or never.

Germany’s economy is so bad even sausage factories are closing – High costs and stagnant spending are putting businesses through the meat grinder.

German of the day: Insolvenz

That means bankruptcy.

German business bankruptcies hit decade high amid downturn – Business bankruptcies have climbed to an 11-year high, with small firms hardest hit by Germany’s anemic growth. Economists warn of job losses but see tentative signs that the insolvency wave may be leveling off.

Don’t worry, in other words. Once everybody has gone bankrupt the bankruptcies will stop.

Germany to finally bow to the United States’ wishes

And become less dependent on the United States.

Germany’s Merz: Europe must become less dependent on United States – German Chancellor Friedrich Merz on Tuesday rejected a blistering attack on European democracies by the Trump administration, which issued a strategy paper last week declaring that the continent faced “civilizational erasure.”

The U.S. National Security Strategy, made public last week, caused shock across Europe, with a broadside that accused European governments of “subversion of democratic processes” and said U.S. policy should include “cultivating resistance” within the European Union.

German of the day: Freier Fall

That means free fall.

The Federation of German Industries (BDI) believes that Germany’s economy is in “free fall.” German industry is currently facing a dramatic low point, BDI President Peter Leibinger told the news agency dpa. “The economy is in its worst crisis since the Federal Republic was founded, but the federal government is not responding decisively enough.”

A new industry report expects industrial production to decline by two percent this year. This would be the fourth consecutive year of decline. “This is not a temporary dip, but a structural decline,” Leibinger said. German industry is continuously losing ground.

Germans feel less gloomy?

Despite economic clouds?

Depends on who you ask. And how you look at it. My experience has been that Germans are the happiest when they’re the gloomiest.

Germans Feel a Little Less Gloomy Despite Economic Clouds – The pickup in consumer mood contrasts with a worsening outlook among German business.

Growth driver now just backseat driver…

Who doesn’t know what he’s driving at.

Germany was billed as Europe’s growth driver. Now economists are saying: Not so fast – Huge investment pledges and major fiscal changes had bolstered hopes that Germany could give the euro zone economy a much-needed boost, but economists are starting to question if — and when — that will happen.

“The actual spending is slower than many of the more excitable pundits had expected. In Germany, it takes time to spend money.”

German of the day: Schattenwirtschaft

That means shadow or underground economy.

It’s a Volkssport (national pastime) here. Over-taxed Germans get even with the government any and every chance they get. See Schwarzarbeit.

German shadow economy booms amid high taxes and state aid – While Germany’s economy falters, the country is experiencing a rise in undeclared work. What role do taxes and generous state aid for the poor play in the surge?