After the second quarter of this year had already brought a fairly strong increase in industrial production, the third quarter is also likely to set the stage for significant production growth. In addition tothe manufacturing industry, sectors such as construction, commerce, transport and corporate service providers are also expected to make a substantial contribution to GDP growth. German economic growth is currently broad-based in terms of the sectors driving it.
The same applies to the demand components of gross domestic product. We expect the third quarter to bring a considerable boost in exports. Consumer spending is likely to show moderate growth, while the reluctanceto invest is expected to become far less pronounced. Equipment investment activity is likely to increase markedly after the second quarter of the year saw these investments rise again for the first time in seven quarters. All in all, we predict that gross domestic product will expand by almost one percent q-o-q in the third quarter of this year. The German economy is clearly back on the growth track.