BERLIN, Jan. 8 (Xinhua) -- Germany's industrial orders rose more than expected in November 2025, official data showed Thursday, offering a rare positive signal for Europe's largest economy amid a prolonged slowdown.
Incoming orders increased 5.6 percent from the previous month on a seasonally and calendar-adjusted basis, the Federal Statistical Office (Destatis) said. Analysts had expected a decline after gains in the earlier months.
Domestic demand provided the main support, with new orders from within Germany rising 6.5 percent. Orders from countries and regions outside the eurozone grew more modestly, up 2.9 percent, the data showed.
The increase in order intake was driven by large-scale orders in the transport equipment sector, including aircraft, ships, trains and military vehicles, as well as in metal products manufacturing. Excluding these volatile large orders, overall new orders would have risen by just 0.7 percent in November.
"Large orders, mainly related to defense industry demand, have been causing pronounced monthly fluctuations in order intake in recent months," the Federal Ministry for Economic Affairs and Energy said in a statement.
While demand from Germany and the eurozone showed a steady upward trend, the economy ministry said orders from outside the euro area have remained subdued since spring 2025 amid trade and geopolitical uncertainty. As a result, the country's export outlook remains clouded, it added.
The November surge marked the strongest monthly rise since late 2024. Economists expect higher defense spending to support economic growth, even as broader industrial momentum remains fragile.
"Finally, there is a figure from the German economy that leaves little room for complaint," said Jens-Oliver Niklasch, senior economist at the Landesbank Baden-Wuerttemberg (LBBW). He added that while increased military spending may have provided a significant boost, it would not, on its own, generate sustainably higher growth potential.
Germany's economy contracted for two consecutive years and is expected to only narrowly avoid a third year of recession in 2025, as structural weaknesses and external tariff pressures continue to weigh on its industrial base. The Federation of German Industries BDI forecasts that industrial production will shrink for a fourth straight year. (1 euro = 1.17 U.S. dollar) ■