The German government slashed its gross domestic product expectations Wednesday, saying it was now forecasting just 0.3% growth in 2025.

Germany's government has slashed its 2025 growth forecast for the country’s economy, Europe’s biggest, to just 0.3% after it shrank for two consecutive years.

The German government on Wednesday cut its growth projections for 2025 amid domestic political instability and the looming threat of higher US tariffs under President Donald Trump. Output is now expected to increase by only 0.

Berlin brought down its 2025 economic growth forecast from 1.1% to 0.3%. A government report cited the collapse of the government as the main reason.

The uncertainty about US trade policy in the wake of Donald Trump's presidency is partly to blame, economy minister Robert Habeck said on Wednesday. View on euronews