A Smaller-Than-Expected Increase in German Exports in October

German exports increased less than expected in October, but foreign trade continued to provide a boost to Europe’s largest economy at the start of the fourth quarter of the year as it struggled to avoid a slide into deflation.

The Federal Statistics Office said on Wednesday that exports, adjusted for seasonal factors, increased 0.8% month over month after a 2.3 increase in September. Imports rose 0.3%, after an increase in the previous month’s data, to an increase of 0.2%. The trade surplus widened to 18.2 billion euros, equivalent to 22.07 billion dollars.

Economists polled by Reuters had expected exports to rise by 1.2% and imports 1%. The trade surplus was expected to reach 18 billion euros.

The German economy grew 8.5% on a quarterly basis between July and September, after declining 9.8% in the second quarter due to the first wave of the Covid-19 pandemic.