--- title: "German firms cut US investment to €4.3bn in first half of 2026, lowest since 2023" publication: "MediaBias News" url: "https://mediabias.news/business/german-firms-cut-us-investment-to-43bn-in-first-half-of-2026-lowest-since-2023" api: "https://mediabias.news/api/v1/stories/german-firms-cut-us-investment-to-43bn-in-first-half-of-2026-lowest-since-2023" markdown: "https://mediabias.news/business/german-firms-cut-us-investment-to-43bn-in-first-half-of-2026-lowest-since-2023.md" audio: "https://mediabias.news/api/audio/german-firms-cut-us-investment-to-43bn-in-first-half-of-2026-lowest-since-2023" category: "Business & Economy" area: "United States" published: "2026-08-16T12:46:33.693Z" source_reported: "2026-08-16T11:43:00.000Z" updated: "2026-08-16T12:46:33.693Z" trust_score: 96 critic_score: 95 hype_score: 15 assessment_type: "coverage-and-source-reporting-analysis" fact_check_status: "not-performed" coverage_measured: "2026-08-16T13:45:26.953580+00:00" --- # German firms cut US investment to €4.3bn in first half of 2026, lowest since 2023 *Data from Germany’s central bank shows an 80% drop from 2024 levels amid trade policy uncertainty* **Scores for the source reporting** (0-100, assessing the original journalism this article was written from, not this write-up): - Trust 96 of 100, higher is better. Trust high (96) due to named IW researcher, dataset, and multiple independent outlets confirming €4.3bn figure. - Craft 95 of 100, higher is better. Critic high (95) as article explains policy impact, quotes researcher, separates facts, provides specific figures and future outlook. - Hype 15 of 100, lower is better. Hype low (15) – headline matches content without sensational language. Scored by MediaBias News; method at https://mediabias.news/methodology. **The short version** - German companies’ direct investments in the US fell to €4.3 billion in the first half of 2026, an 80% drop from the same period in 2024. - The decline follows Trump administration policies, including threatened import tariffs, which the German Economic Institute said increased uncertainty. - Reinvested earnings by existing German firms in the US remained high, indicating the market is still seen as attractive despite lower new capital commitments. - The five-year pre-pandemic average for first-half US investments by German firms was €15.8 billion, nearly four times the 2026 figure. German companies reduced their direct investments in the United States to €4.3 billion in the first half of 2026, the lowest level since 2023. The figure marks a drop of nearly two-thirds from the same period in 2025 and an 80% decline from 2024, according to calculations by the German Economic Institute (IW) using data from Germany’s central bank. The IW report, cited by Reuters, said the downward trend began after Donald Trump’s return to office in January 2025. Trump’s administration has threatened import tariffs on trading partners, including the European Union, to secure concessions. In 2025, the EU agreed to a $600 billion investment pledge to avoid heavy duties on its exports to the US. Before the COVID-19 pandemic, German firms averaged €15.8 billion in first-half US investments over five years. The 2020-2023 period included years with net investment outflows, which IW researcher Samina Sultan described as shaped by "exceptional circumstances". In 2025, direct-investment loans and reinvested earnings were high, while new equity capital remained below average. Sultan told Reuters that companies already active in the US continued to reinvest profits locally, suggesting the market remains attractive overall. However, she said firms were hesitant to commit new capital. The two left-rated digests led on the scale of the decline. Sueddeutsche Zeitung reported a 65% drop in direct investment in 2025 compared with the previous year, and noted that the US remained attractive as a market because profits were reinvested locally. Zeit Online also highlighted the 65% reduction and linked the negative trend to Trump’s second term. The two centre-rated reports carried the full IW account. WTVB and Reuters both led with the €4.3 billion figure and the near-80% drop from 2024. Both included Sultan’s statement that the trend began with Trump’s second term and quoted her on the US remaining an attractive market despite lower new capital commitments. The six right-rated digests all led with the three-year low and the two-thirds year-on-year drop. The Times of India’s full report framed the decline as driven by Trump administration policies, quoting Sultan’s statement that the trend began with his second term. Welt’s digest noted that companies were holding back on new engagements despite the market’s attractiveness. Regionalmedianews.com, Daily Sabah, The Hindu Business Line, and Handelsblatt all carried the €4.3 billion figure and the two-thirds drop, with Handelsblatt adding that Trump’s tariffs had not succeeded in increasing German investment in the US. None of the right-rated digests mentioned the pre-pandemic average of €15.8 billion. None of the left-rated digests included the composition of investment flows in 2025, such as the high levels of reinvested earnings or direct-investment loans. ## Who covered it Shares of the 13 covering outlets with a published leaning rating: - Left: 15% (2) - Centre: 23% (3) - Right: 62% (8) 4 of 17 covering outlets carried no usable leaning rating and were excluded from those percentages. Coverage measured 2026-08-16T13:45:26.953580+00:00. **Coverage watch:** developing. Checked 8 times; 0 checks found a material change. Most recently checked 2026-08-16T14:45:11.107Z. **Provisional coverage gap:** left. The watch is not closed, so this is not yet a settled blindspot finding. ## Factuality profile of the covering outlets These are published factuality ratings of the outlets, not a verdict on whether this story or its claims are true. - mixed: 4 - high: 8 - unknown: 4 - veryHigh: 1 ## Verification scope This page compares coverage and scores the source reporting. It is not a ClaimReview verdict on whether the underlying event or claim is true. ## Original reporting this was written from - [Reuters](https://reuters.com/business/finance/german-companies-cut-us-investment-three-year-low-data-show-2026-08-16) — German companies cut US investment to three-year low, data show - [Aktuálně.cz](https://zpravy.aktualne.cz/ekonomika/nemecke-firmy-snizily-investice-v-usa-o-dve-tretiny-mohou-za-to-i-trumpova-cla/r~aaa29d1931ff4a4b691bb5ba80bb2e66) — German Companies Have Reduced Investments in the US by Two-Thirds. Trump's Tariffs Are Also to Blame - [Frankfurter Allgemeine](https://faz.net/aktuell/wirtschaft/deutsche-firmen-drosseln-investitionen-in-den-usa-um-zwei-drittel-accg-201130851.html) — German Companies Reduce US Investment by Two Thirds - [nachrichten.at](https://nachrichten.at/wirtschaft/zwei-drittel-weniger-deutsche-firmen-drosseln-usa-investitionen;art15,4202521) — Two-Thirds Less: German Companies Throttle US Investments - [TRT World](https://trtworld.com/article/8553273e6569) — German firms cut US investment to three-year low amid uncertainty, data show - [Times of India](https://economictimes.indiatimes.com/news/international/business/german-companies-cut-us-investment-to-three-year-low-data-show/articleshow/133273086.cms) — German companies cut US investment to three-year low, data show - [regionalmedianews.com](https://regionalmedianews.com/news/national/business/german-companies-cut-us-investment-to-three-year-low-data-show) — German companies cut US investment to three-year low, data show - Regional Media News - [Welt](https://welt.de/wirtschaft/article6a81758be2db31c634130948/iw-studie-deutsche-firmen-drosseln-usa-investitionen-um-zwei-drittel.html) — IW Study: German Companies Reduce US Investment by Two-Thirds - [Hospodárske Noviny](https://hnonline.sk/finweb/zahranicna-ekonomika/96297195-nemecke-firmy-prudko-obmedzili-investicie-v-usa-pre-cla-a-neistotu-klesli-na-trojrocne-minimum) — German Companies Sharply Cut Investment in the US, Falling to a Three-Year Low Due to Tariffs and Uncertainty - [Sueddeutsche Zeitung](https://sueddeutsche.de/wirtschaft/firmen-usa-li.3532115) — German Companies Invest Less in the USA: Decrease in Direct Investment - [Daily Sabah](https://dailysabah.com/business/economy/german-companies-investment-in-us-falls-to-3-year-low-in-h1) — German companies' investment in US falls to 3-year low in H1 - [Zeit Online](https://zeit.de/wirtschaft/2026-08/deutschland-investition-usa-wirtschaft-iw-zoll-studie) — IW Study: German Companies Invest Significantly Less in the USA - [BNR Nieuwsradio](https://bnr.nl/nieuws/economie/10608420/duitse-investeringen-in-vs-zakken-naar-laagste-niveau-in-drie-jaar) — German Investments in the US Fall to Lowest Level in Three Years - [wiwo.de](https://wiwo.de/unternehmen/industrie/iw-studie-deutsche-firmen-drosseln-usa-investitionen-um-zwei-drittel/100247550.html) — IW Study: German Companies Reduce US Investment by Two-Thirds - [The Hindu Business Line](https://thehindubusinessline.com/news/world/german-companies-cut-us-investment-to-three-year-low-data/article71352219.ece) — German companies cut US investment to three-year low: Data - [Handelsblatt](https://handelsblatt.com/politik/konjunktur/iw-studie-deutsche-firmen-drosseln-usa-investitionen-um-zwei-drittel/100247542.html) — IW Study: German Companies Reduce US Investment by Two-Thirds - [WTVB](https://wtvbam.com/2026/08/16/german-companies-cut-us-investment-to-three-year-low-data-show) — German companies cut US investment to three-year low, data show ## Questions **How much did German companies invest in the US in the first half of 2026?** German companies invested €4.3 billion in the US in the first half of 2026, a drop of nearly two-thirds from the same period in 2025. This is the lowest level since 2023 and represents an 80% decline from 2024, according to data from Germany’s central bank analysed by the German Economic Institute. **Why have German companies reduced their US investments?** The German Economic Institute attributed the decline to uncertainty caused by Trump administration policies, including threatened import tariffs on trading partners. The trend began after Trump’s return to office in January 2025, according to IW researcher Samina Sultan. **Is the US still seen as an attractive market for German firms?** Yes. While new capital commitments have fallen, German companies already active in the US continued to reinvest profits locally in 2025. Samina Sultan told Reuters this suggests the US remains an attractive market overall, despite the drop in new investments. --- MediaBias News — https://mediabias.news. Reproduced from https://mediabias.news/business/german-firms-cut-us-investment-to-43bn-in-first-half-of-2026-lowest-since-2023. Please cite as: MediaBias News, "German firms cut US investment to €4.3bn in first half of 2026, lowest since 2023", https://mediabias.news/business/german-firms-cut-us-investment-to-43bn-in-first-half-of-2026-lowest-since-2023