German Economy Minister Peter Altmaier warned that the -0.1% contraction in Q2 GDP was a “wake-up call and a warning signal”. He added that “the smouldering trade conflict is taking its toll — and export-focused German industry is feeling it especially keenly”.
Altmaier also emphasized “We are in a phase of economic weakness but not yet in recession. We can avoid that if we take the right measures.” However, Chancellor Angel Merkel’s spokesman said “the government does not currently see any need for further measures to stabilize the economy – the fiscal policy of the German government is already expansive.”
