German exports rebounded more than expected in August, recording their biggest rise in more than six years and pulling the economy also along with a 2.5 per cent increase in industrial output.
Europe's biggest economy reported a 5.4 per cent expansion in its seasonally-adjusted exports - the largest rise since May 2010, data from the Federal Statistics Office showed.
Germany's trade surplus edged up to 20 billion euros ($22.4 billion) in August from 19.5 billion euros in July.
Germany, the world's second largest exporter, also reported a 3 per cent uptick in imports, showing signs of economic expansion.
At 2.5 per cent German industrial production in August posted its biggest increase since January, also showing a bounce-back from the steepest fall in 23 months in July.
German industrial output rose 2.5 per cent in August, a higher rate than expected and the biggest increase since January. The German economy ministry expects industrial production to increase in the third quarter, though the growth would be ''restrained''.
The revival of exports, which has been the main growth driver in Germany, will contribute to the expected expansion in the third quarter, say analysts.
The spike in Germany's exports is attributed to an improving economy in China.
Analysts, however, warn that the risks to economic growth and global trade are high, especially from a possible "hard" exit by Britain from the European Union.
While China's economy has somewhat stabilised, the prospects of overall growth in world trade remains very weak, they point out.
Weak data in July had raised concerns that the German economy will slow in the third quarter. But those concerns have largely quelled by positive figures in recent weeks.