German exports declined by 1.4% in May 2025, with shipments to the United States falling sharply by 7.7% to their lowest level in over three years. This downturn exceeded economists' expectations and is attributed primarily to the impact of rising U.S. tariffs and ongoing trade tensions under the Trump administration. The decline in exports to the U.S. marked the second consecutive month of decreases, reflecting uncertainty in bilateral trade relations. Concurrently, German imports also experienced a reduction during this period. German officials have urged for a swift trade agreement to mitigate further disruptions as the temporary pause on U.S. tariffs approaches expiration.