Exporting to Germany

Germany Export Guide | Trade Finance Global

Exporting to Germany

As the largest economy in Europe and the fourth largest by GDP in the world, Germany is a central pillar of the EU. The western European behemoth was responsible for nearly one quarter of the entire EU’s GDP in 2020.

Germany imports more than $1.2 trillion worth of goods every year with the main products being machinery, commodities, chemicals, vehicles and agricultural products, making them the 3rd largest importer in the world.

Domestic demand is very strong and remains robust despite the global economic slowdown. This is reflected in their trade practices, with more than 50% of imports coming from the EU, while other main trading partners include China, the United States, and Switzerland.

germany imports by country

On the import side, German SME imports come in around 27% of total trade value, compared to the OECD average of nearly 47%. 

Germany Country Profile

Official Name (Local Language) The Federal Republic of Germany
Capital Berlin
Population 80,722,792
Currency Euro
GDP $3,495 billion
Languages German
Telephone Dial In 49

Germany Imports Profile

Imports ($m USD)

1,173,628

Number of Import Products

4,506

Number of Import Partners

221

Top 5 import partners

Country

Trade

% Partner Share

China

115,179

9.81

Netherlands

95,303

8.12

France

72,966

6.22

United States

71,072

6.06

Italy

63,047

5.37

Top 5 Import Products at HS 6 digit level

Export Product

Number

Motor cars and other motor vehicles principally...

5%

Parts and accessories for tractors, motor vehicles...

3.60%

Petroleum oils and oils obtained from bituminous...

3.10%

Automatic data processing machines and units...

2.40%

Petroleum gas and other gaseous hydrocarbons

2.40%

Chart Showing GDP Growth Compared to rest of world

GDP Composition for Germany

Agriculture

%

Products List

0.6%

Potatoes, wheat, barley, sugar beets, fruit, cabbages; milk products; cattle, pigs, poultry

Industry

%

Industry List

30.3%

Iron, steel, coal, cement, chemicals, machinery, vehicles, machine tools, electronics, automobiles, food and beverages, shipbuilding, textiles

Services

%

Services List

69.1%

Exporting to Germany: what is trade finance?

Export finance is a revolving facility which lenders offer financing options– it enables businesses to buy goods and can help ease cash flow problems.

Often, an alternative financier will fund all of the cost of the goods, including charges (e.g. taxes).

Trade finance offers benefits over more traditional bank funding such as bridging mortgages or business loans. Trade finance provides quick funding without affecting existing bank relationships.

How does it work?

If you’re a company importing or exporting goods around the world, then a trade finance facility would help you to fund this through offering a LC (letter of credit) or some form of cash advance.

I’m looking to export to Germany, how can Trade Finance Global help, and how does it work?

If you’re looking to export inventory to other countries, you may require finance for exporting, which is a commercial agreement between you (the exporter), and the importer. An alternative financier will advance you the cost of producing the stock supplies that you are exporting (as a loan), either once you have sent the goods, or before producing them. Once the importer has received the stock supplies and pays you for the import, you will repay the advance from the export bank over an agreed period.

Information

Exporting to Germany? Contact our local experts

Germany Economic Statistics

Government Website

https://www.bundesregierung.de/

Sovereign Ratings

https://countryeconomy.com/ratings/germany

Central Bank

Deutsche Bundesbank

Currency USD Exchange Rate

0.9214

Unemployment Rate

4.3%

Population below poverty line

16.7%

Inflation Rate

0.05%

Prime Lending Rate

0.25%

GDP

$3,495 billion

GDP Pro Capita (PPP)

$48,200

Currency Name

Euro

Currency Code

EUR

World Bank Classification

High Income

Competitive Industrial Performance

5/138

Corruption Perceptions Index

12/180

Ease of Doing Business

24/190

Enabling Trade Index

9/136

Currency in Germany

About the Author

Brian Canup is the Business Development Executive at Trade Finance Global (TFG).

Brian holds a BA in Political Science from the University of Wisconsin-Madison and an MA in International Political Economy from King’s College London.

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