German direct investment into US plunges as new equity falls
International Business Times, Singapore Edition
German companies sharply reduced new investment in the United States in the first half of 2026, with direct investment falling nearly two-thirds year on year to €4.3 billion, the lowest first-half level since 2023, according to an IW analysis of Bundesbank data. The fall was nearly 80% below the comparable 2024 level and far below the 2015–19 first-half average. The decline reflects weak new equity commitments amid tariff and trade-policy uncertainty, while reinvested earnings remained high, indicating existing US operations continue to receive capital despite a pause in new projects.
New German equity investment in the US fell to €4.3 billion.
Context
Donald Trump returned to the White House in January 2025 and raised tariff uncertainty.…
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