Question

Explain in detail

Germany is the fifth largest economy explain what goods and services Germany specializes in producing and exporting.

What kinds of goods and services is this country most likely to import from other countries? Why doesn't this country produce these goods on their own?

Lastly, explain how this country benefits from trade.

Answer 1

Germany is the third largest exporter and importer in the world, accounting for more than half of the European Union’s international trade.

Much of Germany’s exports focuses on industrially produced goods and services. In particular German mechanical engineering products, vehicles, and chemicals are highly valued internationally. Around one euro in four is earned from exports and more than every fifth job depends directly or indirectly on foreign trade.

what goods and services Germany specializes in producing and exporting?

Primary exports – commodities: motor vehicles, machinery, chemicals, computer and electronic products, electrical equipment, pharmaceuticals, metals, transport equipment, foodstuffs, textiles, rubber and plastic products

Total value of exports: $1.492 trillion

What kinds of goods and services is this country most likely to import from other countries?

Primary imports - commodities: machinery, data processing equipment, vehicles, chemicals, oil and gas, metals, electric equipment, pharmaceuticals, foodstuffs, agricultural products

Total value of imports: $1.276 trillion

explain how this country benefits from trade?

Exports of goods and services also made up about 52 percent of its GDP. Significantly, EU integration has greatly intensified intra-European trade, with about 69 percent of German exports shipped to European countries and 58.2 percent delivered to member states of the EU.

Within the EU itself, Germany's most important trading partner continues to be France (9.5 percent of total exports). Meanwhile 7.9 percent of German exports went to the US in 2012 and 6.6 percent to the UK.

Most of the goods imported to Germany originated from the Netherlands. Germany imported goods worth 86.6 billion euro from the Netherlands (9.5 percent of total German imports), with China and France accounting for the next highest imports.