Retail sales in Germany dropped by 1.6% month-over-month in May 2025, missing market estimates of a 0.5% growth and worsening from a downwardly revised 0.6% decline in the previous month. It was the second straight month of contraction, amid weaker sales in food (-1.3%) and non-food categories (-2.2%). Online sales also shrank 1.4%. On a year-over-year basis, retail sales grew by 1.6%, missing consensus of 3.3% and slowing from an upwardly revised 2.9% increase in April. The increase was driven by gains in both the food (0.5%) and non-food sectors (2.0%), with online sales increasing 9.3%.
