Economy in Germany

Germany is a strong export nation – but export is not everything. Here we explain why Germany is considered a developed country, what kind of economy Germany has and what factors make Germany's economy so strong. German industry plays an important role. In Germany, industry's share of gross value added is the highest of all G7 countries at 26.6 percent. The strongest sectors are vehicle construction, electrical engineering, mechanical engineering and chemicals. Germany is one of the three largest export nations alongside China and the USA. In 2022, Germany exported goods worth 1,576 billion euros. The export quota was 50.3 percent. But Germany's real strength lies elsewhere: the heart of the German economy beats in medium-sized companies. This refers to the 99.6 percent of companies in Germany with an annual turnover of less than 50 million euros and fewer than 500 employees. Almost 1,000 of them are “hidden champions”, i.e. world market leaders who are little known to the public.