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Germany's electrical and digital industry rebounds with record order growth

After years of stagnation, Germany's tech-driven sectors roar back to life. Analysts now predict a brighter 2026—here's why the turnaround matters.

The image shows a page from a book with a drawing of a machine on it. The text on the paper reads...
The image shows a page from a book with a drawing of a machine on it. The text on the paper reads "German Patent 114,000,000" and there is a picture of the machine on the right side of the page.

Order Boost Gives Electronics Industry a Push for 2026 - Germany's electrical and digital industry rebounds with record order growth

Germany's electrical and digital industry has shown strong signs of recovery after a difficult few years. New orders surged by 17.1% in December 2025, marking a sharp turnaround. The sector now expects growth in 2026 following three years of stagnation and slight decline.

The rise in orders came from both domestic and international markets. Demand was evenly split, helping to boost confidence across the industry. Despite a minor drop of 0.4% in production during 2025, total revenue still climbed to €224.5 billion—a 2.0% increase compared to the previous year.

The German Electrical and Digital Industry Association (ZVEI) has forecast a 2% real increase in production for 2026. This optimism follows a period of weak performance, with the sector struggling to grow since 2023. The latest figures suggest a more positive outlook for the next six months.

No data is yet available on demand trends for early 2026. Current reports only cover developments up to late 2025, including the October 2025 rise in orders.

The industry's recovery is backed by rising orders and higher revenue. A 2% production growth is now expected for 2026, reversing the recent downturn. While early 2026 demand remains unmeasured, the sector's short-term prospects appear stronger.

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