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Commerce between the UK and Germany slumped in January, new figures from Germany present, as the 2 international locations adjusted to life after Brexit amid the Covid-19 pandemic.
Figures launched by Germany’s Federal Statistics Physique (Destatis) this morning present that German exports to the UK dropped by 29.0% to €4.3bn in January 2021, in contrast with a yr in the past.
German imports from the UK tumbled much more sharply – down 56.2% to €1.6bn in contrast with January 2020 (simply earlier than Covid-19 struck the worldwide economic system).
This was the primary month during which the UK traded with EU international locations beneath the Brexit free commerce deal. Highway haulage our bodies had warned that exports volumes had fallen in January, following a rush of stockpiling on the finish of 2020 that led to very large delays on the ports.
On 1 January 2021 the partnership settlement negotiated between the EU and the UK took provisional impact. As the UK has left the EU single market and the customs union, its withdrawal from the EU has now been accomplished.
General, German exports to the remainder of the world fell by 8% year-on-year in January in comparison with a yr in the past, whereas imports slumped by 9.8% – an indication of the influence of the Covid-19 pandemic on international commerce during the last 12 months.
This swelled Germany’s total international commerce surplus to €14.3bn, up from €13.7bn in January 2020.
However… commerce with China picked up, as its economic system emerged quicker from the pandemic lockdown than the broader international economic system.
In January 2021, exports to the Individuals’s Republic of China rose by 3.1% to 7.5 billion euros in contrast with January 2020. Exports to the US fell by 6.2% to eight.5 billion euros.
In January 2021, most imports to Germany got here from the Individuals’s Republic of China. Items to the worth of 10.5 billion euros have been imported from there (+1.1% on the identical month of the earlier yr). Imports from the US declined by 22.8% to 4.7 billion euros in January 2021.
Destatis additionally estimates that commerce with the remainder of the world was down in February, though at a slower contraction than in January.
Based mostly on provisional knowledge, the Federal Statistical Workplace (Destatis) additionally reviews that, after calendar and seasonal adjustment, exports have been 3.3% and imports 5.2% decrease than in February 2020, the month earlier than restrictions have been imposed because of the coronavirus pandemic in Germany.
Additionally developing as we speak
Union officers are as a result of maintain disaster talks as we speak with metal magnate Sanjeev Gupta, amid fears that hundreds of jobs are in danger after his major monetary backer, Greensill Capital, collapsed into administration yesterday.
The UK inventory market has opened a bit of greater, after a robust day on Monday. The FTSE 100 is simply up 6 factors at 6725, up 0.1%, having jumped 1.3% yesterday.
- 10am GMT: Eurozone GDP for This autumn 2020 (third estimate)