Top Trade Partner

US no Longer Germany’s top trade partner

While reading the title of this blog you may have already guessed that the United States is no longer Germany’s most important trade partner. But as for China, they are now taking the lead for Germany’s top trade partner. Only a year ago it has been said that China, for the first time, has become Germany’s most important trading partner which surpassed the United States dropping them down to third place. France has even made it past in second as China stands strong in first. The imports from Germany and exports to China has already rose to 170 billion euros which equals out to about 180 billion US Dollars. As Berlin may see this as a positive outcome, the German government is now approaching as a supporter of global free trade. With that all said, Germany is also looking at forming new alliances. Now, France who has come in second has become one of the most important partners for Germany. France has now gathered a volume of about 167 billion euros by combined trade with the United States not too far behind with a volume of 165 billion euros.  Now, if you were to look at the export statistics by themselves you will notice that the United States remains being the biggest client for productions from Europe’s powerhouse which keeps them at a high point. As for England, they are representing the greatest reciprocal exchange overflow, with fares outperforming imports from the UK by more than 50 billion euros. This implies England and the US together represent around 40 percent of Germany's record exchange overflow of 252.9 billion euros from the previous year. 

Work Cited:

US no longer Germany's top trade partner | Business | DW.COM | 24.02.2017

Deutsche (www.dw.com) - http://www.dw.com/en/us-no-longer-germanys-top-trade-partner/a-37696816 

Doing Business in Germany

Market Overview

According to this article I found, the German economy is the world's fourth biggest and stands for more than one-fifth of the European Union's Gross domestic product. Germany is the United States' biggest European exchanging accomplice and the 6th biggest market for U.S. exports. Germany's "social market" economy generally takes after free-showcase standards with a significant level of government control and far reaching social welfare programs. Germany currently stands as the largest consumer market in the European Union with approximately a population of 80.6 million. Even with all the great aspects of Germany’s marketplace, they still manage to go above and beyond outside their own boarders. As Germany proceeds with success in the marketplace, they expect to keep growing above their average every year. The labor market in Germany has remained strong since 2015 when employment rose to an all-time high of 43 million. This was an increase of 330,000 after 2014 and as of 2016, employment keeps rising. Unemployment fell more than 40% since its peak in 2005. Germany has come a long way when it comes to employment rates within its country. As for opportunities, for U.S. companies, the German market to be an important element of any export strategy to Europe. When doing business with Germany, one can count on high levels of productivity, excellent engineering, and a highly skilled labor force that is guaranteed to deliver quality products.

Work Cited:

Chapter 1: Doing Business in Germany http://2016.export.gov/germany/MarketResearchonGermany/CountryCommercialGuide/DoingBusinessInGermany/index.asp

Newly Elected German President

Germany's parliamentary assembly has elected Frank-Walter Steinmeier, a Social Democrat, as the country's president. The position of president in Germany is largely ceremonial, because the chancellor is the official head of government and has a higher profile on the world stage. Steinmeier previously served as vice chancellor and foreign minister under current Chancellor Angela Merkel. He was elected by the vast majority of the assembly, receiving 931 out of 1,253 votes. 

Steinmeier, 61, has been a vocal critic of US President Donald Trump. He described Trump in August as a "hate preacher," likening him to right-wing populists in Europe who "make politics with fear," German news agency DPA reported.

Steinmeier also expressed concerns about Trump's comments that NATO, the political and military alliance between North America and Europe, is obsolete.

Work Cited

http://www.cnn.com/2017/02/12/europe/germany-president-frank-walter-steinmeier/

Basic Economic Statistics & Trading Partners

Below are some basic statistics:

Currency:                             Euro (EUR) = € 1 = 1.05 USD

Trade organisations:            EU, WTO and OECD

GDP:                                    $4.0 trillion (PPP, 2016), $3.5 trillion (nominal; 2016)

GDP rank:                             4th (nominal) / 5th (PPP)

GDP growth:                        Increase +1.9% (2016)

GDP per capita:                    $48,000 (2016, PPP), $42,000 (2016, nominal)

Inflation (CPI):                     0.5% (2016)

Labor force:                          43.5 million (2016)

Unemployment:                    3.9% (November 2016)

Average gross salary:           €43,300, ($47,000) annual (2015)

Average net salary:               €27,100, ($30,000) annual (2015)

Main industries:                   iron and steel, coal, cement, mineral fuels, chemicals, plastics, production machinery, vehicles, trains, shipbuilding, space and aircraft, machine tools, electronics, information technology, optical and medical apparatus, pharmaceuticals, food and beverages, textiles

EXPORT:

Exports                                 $1.5 trillion (2014 est.)

Export goods                        motor vehicles, machinery, chemicals, computer and electronic products, electrical equipment, pharmaceuticals, metals, transport equipment, foodstuffs, textiles, rubber and plastic products

Main export partners           United States 9.6%               France 8.6%

United Kingdom 7.5%         The Netherlands 6.6%

China 6%                              Italy 4.9%

Austria 4.8%                         Poland 4.4%

IMPORT:
Imports                                $1.3 trillion (2014 est.)

Import goods                       machinery, data processing equipment, vehicles, chemicals, oil and gas, metals, electric equipment, pharmaceuticals, foodstuffs, agricultural products

Main import partners           The Netherlands 13.7%    France 7.6%

 China 7.3%                       Belgium 6%

 Italy 5.2%                                   Poland 5%

United States 4.7%                Czech Republic 4.5%

Work Cited

https://en.wikipedia.org/wiki/Economy_of_Germany