German industrial production fell by less than expected in March and trade proved resilient, supporting robust growth expectations for the first quarter.
The reports followed by a day data showing Germany industrial orders rose for the second consecutive month in March, the first time since 2015.
Germany's quarterly economic growth, to be released on Friday, is now expected to pick up to 0.6% in the first quarter from 0.4% in the final three months of last year.
Industrial output edged down by 0.4% on the month, today's data from the Economy Ministry showed. This was better than the consensus forecast in a Reuters poll for a drop of 0.6%.
The decline was driven by a 2.5% fall in energy output. Manufacturing production was down 0.5% while construction output rose 1.5%.
The February reading was revised down to a rise of 1.8% from a previously reported increase of 2.2%. In January, industrial production rose by 1.3%.
In the first quarter as a whole, industrial production rose 1.4% on the quarter, the ministry said.
The Economy Ministry said the industrial upswing in the first quarter had momentum. "Industrial orders and sentiment indicators suggest a continuation of this positive trend," it said.
Separate data released from the Federal Statistics Office showed that seasonally adjusted exports rose by 0.4% on the month to hit a record high of €105.4 billion.
This came in better than the consensus forecast in a Reuters poll for a rise of 0.2%.
German imports jumped by 2.4% also to hit the highest value recorded in a month of €85.8 billion.
This was much stronger than a predicted increase of 1%.
The seasonally adjusted trade surplus narrowed to €19.6 billion from a revised €21.2 billion in February, below the Reuters consensus forecast of €20.9 billion.
