Confidence among German exporters declined dramatically due to the war in Ukraine, survey results from the ifo Institute showed on Monday.
The ifo Export Expectations index slipped to minus 2.3 points from +17.0 points in February. This was the lowest score since June 2020.
The institute said the only other time the index suffered a steeper decline was at the beginning of the coronavirus crisis in April 2020.
Regarding the coming six months, exporters were significantly more pessimistic, especially those with economic ties to Russia. The growth in exports will slow down noticeably, Clemens Fuest, President of the ifo Institute, said.
Export expectations fell across all manufacturing industries. Car manufacturers and their suppliers suffered a significant setback and are expecting exports to decline.
Meanwhile, the electrical and electronics industry continued to anticipate rising international sales, but to a lesser extent than recently.