Exports slipped 2.3% from the previous month to €130.5 billion (US$152 billion), according to preliminary data from statistics agency Destatis, due to falls in shipments to China and Europe.

Analysts surveyed by financial data firm FactSet had expected a decline of 2%.

After three bleak years, hopes are high that the eurozone’s industrial powerhouse will stage a recovery this year on the back of a public spending bonanza unleashed by Chancellor Friedrich Merz.

Despite some positive signs in past months, the export data provides a dampener that indicates a turnaround may not be quick.

In January, exports to China, Germany’s top trading partner in 2025, dropped over 13%.

Traditionally a key export destination for German firms, China has become a challenging market due to an economic slowdown and the rise of homegrown rivals in key sectors.

Exports to fellow EU countries also fell nearly 5%.

However, in more positive news, shipments to the US – Germany’s top export destination – rebounded nearly 12, after having suffered heavily in 2025 due to president Donald Trump’s tariff blitz.

Imports to Germany also dropped nearly 6% in January, driven by a fall in purchases from the US and China.

German imports were valued at €109.2 billion in January. The trade surplus widened to €21.2 billion.