German industrial prices fell by 1 % in November 2018 , demonstrating that the US - China trade war , economic recession and slower growth in emerging markets are all having a detrimental effect on the country 's economy . The drop was significantly more than the predicted 0.4 % fall and , while domestic orders fell 2 % , the 3.2 % decrease in international orders became Europe 's biggest economy . Waning demand from the eurozone , which was down 11.6 % , has forced the German government to look to domestic consumption to spur the economy by bringing in tax cuts for middle and high - income residents , as well as raising child allowances .
German industrial orders fell by 1% in November 2018, demonstrating that the US-China trade war, Brexit uncertainty and slower growth in emerging markets are all having a detrimental effect on the country's economy. The drop was significantly more than the predicted 0.4% fall and, while domestic orders rose 2.4%, the 3.2% decrease in international orders hurt Europe's biggest economy. Waning demand from the eurozone, which was down 11.6%, has forced the German government to look to domestic consumption to spur the economy by bringing in tax cuts for middle and high-income residents, as well as raising child allowances.