German industrial orders dropped unexpectedly by 2.6 percent month-over-month in January 2019, missing market expectations of a 0.5 percent rise and following an upwardly revised 0.9 percent gain in December. This was the steepest decline in factory orders since June last year, amid decreases in both domestic orders (-1.2 percent) and foreign demand (-3.6 percent). New orders from the Euro Area shrank 2.6 percent and those from third countries plummeted 4.2 percent. By category, new orders declined the most for capital goods (-3.6 percent), followed by consumer goods (-1.4 percent) and intermediate goods (-1.1 percent). Factory Orders in Germany averaged 0.36 percent from 1952 until 2019, reaching an all time high of 27.10 percent in June of 1975 and a record low of -15.70 percent in July of 1975.
Factory Orders in Germany is expected to be -0.60 percent by the end of this quarter, according to Trading Economics global macro models and analysts expectations. Looking forward, we estimate Factory Orders in Germany to stand at 0.40 in 12 months time. In the long-term, the Germany Factory Orders is projected to trend around 0.50 percent in 2020, according to our econometric models.