Germany’s economy expanded 0.3% in Q2 2026, revised up from 0.2% in the preliminary estimate but easing from 0.4% growth in the previous period. Domestic demand showed a modest rebound, rising 0.1% after a 0.3% contraction in Q1, with household and government consumption each increasing just 0.1% after household spending fell 0.6% and government consumption rose 0.9% previously. Gross fixed capital formation declined 0.2%, narrowing from a 1.3% drop in Q1, dragged by a continued decline in machinery and equipment investment (-1.4% vs -1.7%), while construction investment edged up 0.1% after falling 1.8%. On an annual basis, GDP grew 1.0% in Q2, accelerating from a 0.7% expansion in Q1.