BERLIN, August 7. /TASS/. Industrial production volumes in Germany have dropped to their lowest level since May 2020, when the country was grappling with an economic crisis triggered by the COVID-19 pandemic, Germany’s Federal Statistical Office reported.

According to the agency, industrial output in June declined by 1.9% compared to May. The most significant decreases were observed in the mechanical engineering sector (down 5.3%), the pharmaceutical industry (down 11%), and the food industry (down 6.3%). In contrast, the energy sector showed positive dynamics, with an increase of 3.1%.

The agency also revised its preliminary estimates for May - output in that month increased by only 0.1% compared to April, rather than the previously reported 1.2%. This sharp revision was attributed to several automotive manufacturers submitting updated data on their monthly performance.

As noted by Reuters, the downturn in June was unexpectedly steep - experts had forecast a more moderate decline of just 0.5%.

In recent years, Germany has been undergoing a prolonged economic crisis. Initially triggered by the COVID-19 pandemic, the downturn deepened following the suspension of Russian gas supplies. Previously, members of the German government’s Council of Economic Experts revised downward their forecast for the country’s economic growth in 2025. Taking into account the potential negative impact of tariff increases by the United States, Germany may face a recession for the third consecutive year.