Germany’s economic ministry said industrial production shrank 4% in August adding to the growing picture of a struggling economy.
The fall was the biggest since early 2009 and was far sharper than the 1.5% drop expected.
Weak demand for goods in both the eurozone and China, and disruption to trade with important trading partner Russia, are holding back orders.
On Monday, figures showed factory orders were down 5.7% in August.
The fall in production came in sharp contrast to the rise of 1.6% recorded in July, although that was revised down from the initial estimate of 1.9%.
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