Germany's factory orders rose 4.4% month-on-month in September

Factory orders in Germany grew by 4.4% month-on-month in September 2026, rebounding from the previous month's revised low of a 10.1% decline, but falling short of the market's expected 4.8% increase. This marks the fastest pace since March, mainly driven by a 10.5% surge in automotive orders, following two months of weakness in the sector, partly due to production shifts and plant shutdowns. Orders for machinery and equipment also rose by 8.3%. In contrast, orders for aircraft, ships, trains, and military vehicles dropped by 10.4%, following strong demand earlier in the year. By category, orders for capital goods increased by 5.3%, intermediate goods by 0.5%, and consumer goods by 14.4%. Domestic orders grew by 6.6%, while foreign demand rose by 2.8%, with eurozone markets up 4.5% and non-eurozone markets up 1.6%. Excluding large-scale contracts, orders increased by 5.1%. On a less volatile three-month basis, third-quarter factory orders edged up 0.2% from the previous quarter, and 0.1% excluding large orders.