Friedrich Merz, the chancellor candidate for the conservative Christian Democratic Union, acknowledged the need for a “major effort” to revive the economy as his party pledges to return German growth to 2 percent over the next five years through changes to the welfare and tax systems.

The weakness underlines the challenge that will face a new government in Berlin following elections in February, including the possibility of fresh Trump tariffs.

The German economy contracted by 0.2% in 2024, in the second consecutive year of declines in the annual gross domestic product of Europe's largest economy.

The German economy shrank for the second straight year in 2024 as worried consumers held back on spending and Chinese competition ate into the country’s traditional exports of cars and industrial machinery.

Europe's biggest economy shrank for a second year in a row in 2024, according to data released on Wednesday by the Federal Statistics Office.

Germany's economy contracted for the second consecutive year in 2024, highlighting the depth of the downturn gripping Europe's biggest economy. Germany's economy shrank by 0.2% over the full year - in line with economists' forecasts - and by 0.

Germany’s economy, the largest in Europe, contracted for the second year in a row in 2024, official data showed Wednesday, underscoring the challenges facing the region as it tries to get economic growth back on track.

The German economy contracted for the second consecutive year in 2024, being the weakest economy again among eurozone peers. Europe's biggest economy contracted by 0.1% in the final quarter of last year and shrank by 0.