Free Republic
Browse · Search
General/Chat
Topics · Post Article

Skip to comments.

Germany is in a Recession
Armstrong Economics ^ | 25 Aug 25 | Martin Armstrong

Posted on 08/25/2025 5:02:09 AM PDT by delta7

The German economy contracted 0.3% on a quarterly basis, according to the Federal Statistics Office. Germany’s stronghold on manufacturing is at risk. The government implemented new provisions to bypass the constitution and spend in perpetuity on the incoming war. Spending is up, revenues are down—the German economy is in a recession.

Annual GDP reached 0.2% in Q2, a 0.1% decline from Q1. Around 10% of all German exports are sent to the US, and some are blaming tariffs for the downfall without seeing that the trend was already in motion. Germany’s economy has been in a multi-year downturn caused by ignorant economic policies that directly damaged Germany’s mercantile stronghold in Europe.

German Net Worth

Politicians suffocated automobile manufacturing through net-zero regulations. Sanctions on Russia caused Germany to lose 50% of its oil imports. Its willingness to bend to Brussels has reshaped the demographic landscape with a spike in the population due to migration.

Lawmakers have adopted a war posture and are pushing to increase military spending while abandoning their austerity policy. Germany may be the wealthiest nation in the European Union, but individual households are not experiencing any benefits. In fact, the average German has far less than those living in countries with a smaller GDP. The cost of living has never meaningfully dropped since the pandemic and lockdowns.

Germany has not experienced such economic weakness since post-World War II. Estimates believe that the economy will decline 0.3% for the year or remain stagnant at best. Manufacturing has dropped 10% below pre-pandemic levels. Construction has shrunk by around 3% in recent quarters due to high costs. Exports, which are 34% of Germany’s GDP, are down as demand from the US and China wanes.

If Germany tanks, then the entire European Union will sink, as Germany alone comprises nearly a quarter of the Union’s entire GDP.


TOPICS:
KEYWORDS: germany
Navigation: use the links below to view more comments.
first 1-2021-38 next last
Feb 2022, the EU ( and much of the West) goes to war with Russia….today, they have fallen into a deep Recession, heading into possible Depression…….war cheerleaders, take note, many lessons to be learned.
1 posted on 08/25/2025 5:02:09 AM PDT by delta7
[ Post Reply | Private Reply | View Replies]

To: delta7

Abolish the EU while they still have a chance!


2 posted on 08/25/2025 5:04:31 AM PDT by Highest Authority (DemonRats are pure EVIL)
[ Post Reply | Private Reply | To 1 | View Replies]

To: delta7; Red Badger

That’s OK...war will pull us out of the recession by spending on military-industrial goods!
FDRoosevelt/Keynes


3 posted on 08/25/2025 5:08:23 AM PDT by Cletus.D.Yokel (There are no more conspiracy theories, only questions that further the truth.)
[ Post Reply | Private Reply | To 1 | View Replies]

To: delta7

Too bad the U.S. blew up their pipeline.


4 posted on 08/25/2025 5:11:09 AM PDT by T.B. Yoits
[ Post Reply | Private Reply | To 1 | View Replies]

To: delta7
It shouldn't be long until there is a Naked Gun response from the government.

Nothing to see here...

5 posted on 08/25/2025 5:14:39 AM PDT by philman_36 (Pride breakfasted with plenty, dined with poverty and supped with infamy. Benjamin Franklin)
[ Post Reply | Private Reply | To 1 | View Replies]

To: T.B. Yoits

Too bad the U.S. blew up their pipeline.
—————.
….and the Ukies just blew up the pipeline supplying the EU countries of Hungary and Slovakia….I will laugh when Hungary stops supplying the EU with electricity….the break up of the EU, such a shame…..their war on Russia has many consequences, fools.

https://kyivindependent.com/ukraine-hungary-tensions-flare-over-druzhba-pipeline/

“…. The diplomatic tensions came days after Ukrainian drone strikes targeted the Nikolskoye pumping station in Russia’s Tambov Oblast on Aug. 18. The attack temporarily disrupted operations on the Druzhba pipeline, halting crude oil deliveries to Hungary and Slovakia……”


6 posted on 08/25/2025 5:22:13 AM PDT by delta7
[ Post Reply | Private Reply | To 4 | View Replies]

To: delta7

Make your #1 industry compete with Chinese EV’s and have an energy policy based on “renewables”, who could’ve guessed?


7 posted on 08/25/2025 5:22:33 AM PDT by fuzzylogic (welfare state = sharing of poor moral choices among everybody)
[ Post Reply | Private Reply | To 1 | View Replies]

To: delta7

Many leaders have turned to war to generate a distraction toward an external enemy when their own economic failures put them at risk.


8 posted on 08/25/2025 5:26:59 AM PDT by tired&retired (Blessings )
[ Post Reply | Private Reply | To 1 | View Replies]

To: delta7

“THEIR war on Russia has many consequences, fools.”

Who invaded who?

(my imitation of FR Karens)


9 posted on 08/25/2025 5:36:47 AM PDT by BobL
[ Post Reply | Private Reply | To 6 | View Replies]

To: Cletus.D.Yokel

Government spending to cure a recession is like using gasoline to put out a fire..................


10 posted on 08/25/2025 5:38:22 AM PDT by Red Badger (Homeless veterans camp in the streets while illegals are put up in 5 Star hotels....................)
[ Post Reply | Private Reply | To 3 | View Replies]

To: Cletus.D.Yokel

Rule number 1: When going to war ( especially with Russia) make double sure you hold all the cards.

I find it very amusing the EU tries to “ weaken Russia”, overthrow Vlad, etc,….and the EU themselves collapse. A good warning to the war cheerleaders and Neo- Cons.

That said, when the EU goes under, it will affect the US. Our financial system is heavily interconnected with the EU, many EU members buy our Treasury debt, bonds, Bills and notes and a whopping 30-35 percent ( estimated) of the US stock market is foreign money.


11 posted on 08/25/2025 5:39:09 AM PDT by delta7
[ Post Reply | Private Reply | To 3 | View Replies]

To: Red Badger; delta7

History
Learn from it.
Or...die.


12 posted on 08/25/2025 5:56:10 AM PDT by Cletus.D.Yokel (There are no more conspiracy theories, only questions that further the truth.)
[ Post Reply | Private Reply | To 10 | View Replies]

To: delta7

When you engineer the highest energy prices on the continent, this is to be expected. Germany has a new term for economic suicide: ‘Energiewende.’


13 posted on 08/25/2025 6:03:44 AM PDT by hinckley buzzard ( Resist the narrative.)
[ Post Reply | Private Reply | To 1 | View Replies]

To: delta7
Feb 2022, the EU ( and much of the West) goes to war with Russia….today, they have fallen into a deep Recession, heading into possible Depression…

Armstrong is not only a convicted swindler but also a liar/idiot. The economies of Germany and the whole EU have stagnated not since Feb 2022 but for almost 2 decades due to policies that allowed its labor markets, energy costs, trade policy, and capital markets to go awry.

The Europoors Are Choosing To Have Less Than Americans. It Doesn't Have To Be This Way.

It's no coincidence why Europeans don't have air conditioning, clothes dryers, or ice.

For roughly two decades, Western Europe, home to the continent's largest economies, has stagnated. In 1995, its labor productivity—the value of goods and services produced per hour worked—was 95 percent of what it was in the United States, having risen from just 22 percent in 1945. By 2023, it was down to 80 percent. Ten years ago, 52 of the world's top 100 companies by market capitalization were American and 28 were European. Since then, the American total has grown to 58 while the European count has fallen to 18. The United States has produced five companies worth more than $2 trillion. At around $350 billion, Europe's largest company, the enterprise software provider SAP, is worth about as much as Home Depot.

https://reason.com/2025/08/25/why-europeans-have-less/

14 posted on 08/25/2025 6:17:43 AM PDT by tlozo (“We get a lot of bullshit thrown at us by Putin, if you want to know the truth,” Trump)
[ Post Reply | Private Reply | To 1 | View Replies]

To: delta7
In 1985 David Wilkerson, well known Pastor of Times Square Church in NYC (and author of “Cross and the Switchblade”), said God gave him a vision for America’s future. He said that because of our sins (abortion, sodomy, pornography, etc.) the United States would be destroyed by Russian nuclear missiles and few would survive. He wrote this in his 1985 book, “Set the Trumpet to thy Mouth”. He said there would be signs first…

1. Oil wells on fire in Middle East
2. Financial collapse of Germany
3. Financial collapse of Japan
4. Financial collapse of the USA
5. Then nuclear judgement

We appear to be getting close to the 2nd signs fulfillment.
15 posted on 08/25/2025 7:22:01 AM PDT by Jan_Sobieski (Sanctification)
[ Post Reply | Private Reply | To 1 | View Replies]

To: delta7

Not to worry. The jihadists will lift you up. Germanistan will be Great Again.


16 posted on 08/25/2025 7:29:09 AM PDT by alstewartfan (Old admirals who feel the wind Are never put to sea. Al Stewart)
[ Post Reply | Private Reply | To 1 | View Replies]

To: delta7

Germany was having trouble, what a sad sad story....


17 posted on 08/25/2025 7:30:19 AM PDT by dfwgator (Endut! Hoch Hech!)
[ Post Reply | Private Reply | To 1 | View Replies]

To: Jan_Sobieski

We appear to be getting close
————-
The “ numbers” show Japan is “ favored “ or forecast to be the next country to have a sovereign debt default ( collapse)…..next up, the EU, with a Germany debt crisis tipping the scales for the other bankrupt EU members ( debt exceeding 100 percent of GDP).

Interesting to note, Ukraine is “ the drowning man”, anyone attempting to save a drowning man is pulled under by him….which we are witnessing with Ukraine.


18 posted on 08/25/2025 7:57:28 AM PDT by delta7
[ Post Reply | Private Reply | To 15 | View Replies]

To: tlozo

You can bash Armstrong all you wish, but you can’t take away from his legendary Socrates super computer. Many wealth funds, including sovereign wealth funds and governments have seeked his advice for years.

He has even been called to Congress numerous times to “ fix” financial markets. I suspect you have a rub with him as his Socrates forecasts Ukraine “ flatlining”, in other words ceasing to exist in its present form…..OR you are a Bitcoiner, his Socrates computer for Bitcoin ( and E monies) isn’t favorable.

Ukie war cheerleaders and Bitcoiners absolutely hate him for his Socrates forecasts specifically on those two topics. I have done very, very well taking note of his Socrates ECM forecasts.


19 posted on 08/25/2025 8:08:07 AM PDT by delta7
[ Post Reply | Private Reply | To 14 | View Replies]

To: delta7
Please call me Marty.

I run the ArmstrongEconomics scam site.

The worth of my advice can be measured by my three bankruptcies and losing over $700,000,000 of my clients' funds in bad trades.

That failed ponzi scheme got me eleven years in the federal pen.

signed, Martin Armstrong

20 posted on 08/25/2025 8:15:53 AM PDT by TexasGator (The 750 hp Florida Gnat)
[ Post Reply | Private Reply | To 1 | View Replies]


Navigation: use the links below to view more comments.
first 1-2021-38 next last

Disclaimer: Opinions posted on Free Republic are those of the individual posters and do not necessarily represent the opinion of Free Republic or its management. All materials posted herein are protected by copyright law and the exemption for fair use of copyrighted works.

Free Republic
Browse · Search
General/Chat
Topics · Post Article

FreeRepublic, LLC, PO BOX 9771, FRESNO, CA 93794
FreeRepublic.com is powered by software copyright 2000-2008 John Robinson