German import prices post biggest decline in almost 40 years

By: 8 months ago

Containers seen at a terminal in the port of Hamburg, Germany

Containers are seen at a terminal in the port of Hamburg, Germany Nov 14, 2019. REUTERS/Fabian Bimmer/File photo

BERLIN – German import prices recorded in August the largest year-on-year decline since November 1986, the statistics office said on Friday.

Import prices decreased by 16.4 percent year on year in August, in line with analysts’ expectations in a Reuters poll.

The large decline is primarily due to a base effect originating from the large price increases in 2022 as a result of the war in Ukraine, the statistics office said.

READ: German producer prices fall 12.6%

Since the German economy sources many intermediate products and raw materials from abroad, falling import prices have a delayed impact on general inflation.