Trade Overview

Since the reunification over 30 years ago, the German economy has grown steadily to become Europe’s largest economy, and the third largest in the world. Germany had a GDP of $4.46 trillion in 2023 and a population of 84.48 million according to data from the World Bank. World Bank

Bavaria is the largest German state by land area and second largest by the size of its economy. Bavaria’s GDP is almost $716 billion, making it the sixth largest economy in the EU. Bavaria has strong commitments to funding and support for innovation and entrepreneurship and is known for its industry. Bavaria has branded itself as Germany’s Silicon Valley, positioning itself as a major global tech hub.

Germany holds the spot as the United States’ fifth top export destination, with exports steadily increasing over the past decade.

The United States exported $76.7 billion to Germany in 2023, with $20.12 billion being transportation equipment. This was followed by chemicals ($13.17 billion), computer/electronic products ($9.49 billion), non-electrical machinery ($6.05 billion), and oil and gas ($5.09 billion).

The U.S. imported $159.27 billion in goods in 2023, with transportation equipment being the top import at $39.42 billion. Other top imports included non-electrical machinery ($30.79 billion), chemicals ($30 billion), computer and electronic products ($13.16 billion), and goods returned ($8.29 billion).

California – Germany Trade

As California’s 8th largest export destination, California exported $5.9 billion in goods. Top exports included computer/electronic products ($1.57 billion), chemicals ($960 million), non-electrical ($628 million), transportation equipment ($522 million), and agricultural products ($520 million).

Imports from Germany to California totaled $14.2 billion in 2023. Transportation equipment ($7.62 billion), non-electrical machinery ($1.7 billion), computer and electronic products ($1.5 billion), primary metals manufactures ($1.02 billion), and chemicals ($663 million) where the top 5 imports.  (U.S. Department of Commerce)

Foreign Direct Investment

Ranking as the 4th largest investor in the United States in 2022. In 2023, Germany accounted for more than $472.9 billion in FDI in the U.S. Likewise, U.S. FDI into Germany totaled $193.2 billion in the same year. U.S. Department of Commerce, Bureau of Economic Analysis)

German FDI in the U.S. supported 923,600 jobs and invested $11.2 billion into research and development, with $59.3 billion went to expanding U.S. exports. The top industry sectors for German FDI in the U.S. were: industrial equipment, software and IT services, transportation, auto components, electronic components, and chemicals. Select USA

In California, Germany was the fifth largest source of FDI through foreign-owned enterprises (FOEs) in 2023. German FOEs provided over 65,831 jobs through 1,351 firms amounting to $7.8 billion in wages. The top jobs by sector are manufacturing, information, retail trade, professional/business services, and education/health (World Trade Center Los Angeles FDI Report).

Tourism

The California Travel and Tourism Commission unveiled a German Web site to attract more German-speaking travelers to the Golden State. Visit California (Deutsch)

Approximately 407,000 German visitors came to California in 2023 spending approximately $957 million. The primary purpose of trip for German visitors to California was vacation/holidays (57%).

Hessen Slide Show

Hessen – one of Europe’s most successful and welcoming global business regions. For inspiring images of successful companies, continental Europe’s leading airport and financial center in Frankfurt, historical buildings, as well as some of the cultural events across Hessen, please view the link below:

Hessen Video

Investors, business development executives, and government representatives at international trade fairs and events, are invited to preview Hessen’s major location advantages such as multicultural diversity, an outstanding and innovative business location for diverse industries and a unique landscape with high quality of life.

ICT / Invest in Hessen 

“In 2020, Hessen’s Center for Artificial Intelligence was founded in Darmstadt. It aims to deliver excellent basic research, focus on specific practical applications to find answers to the important challenges of our time and transfer the knowledge to business and society. There is huge potential for the application of AI in Hessen’s business structures: Five percent of the companies in Hessen already use AI – more than in any other federal state.”
Hessen Trade & Invest

Events

German Consul General Highlights Opportunities for California Businesses

(December 14, 2021) California and Germany have many ongoing cooperative efforts underway already and there are more opportunities to come, German Consul General Oliver Schramm told a California Chamber of Commerce gathering last week.

Areas of mutual interest include energy policy and climate change, Schramm said at the December 10 international breakfast hosted by the CalChamber Council for International Trade and sponsored by CSAA Insurance Group.

CalChamber Hosts Delegation from Germany
(July 13, 2009) CalChamber-hosted meeting with business and government officials from the state of Baden Württemberg in Germany are (from left): Dr. Hans-Dieter Frey, Ministry of Economics, Baden Württemberg; Acting Consul General Eberhard Brockmann, German Consulate General in San Francisco; Karlheinz Bechtle, Ministry of Economics, Baden Württemberg; Dr. Peter Kulitz, president, Ulm Chamber of Commerce; Dr. Dieter Salomon, mayor, City of Freiburg; The Honorable Ernst Pfister, minister, Ministry of Economics, Baden Württemberg; Dr. Bernd Dallmann, president, German Economic Developers Association; CalChamber President and Chief Executive OfficerAllan Zaremberg; Dr. Michael Hagenmeyer, chief executive officer, Baden Württemberg International; Susanne Stirling, CalChamber vice president, international affairs. Full Article
CalChamber Hosts German Minister of Foreign Affairs	California Partners with CeBIT
(August 31, 2007) The California Chamber of Commerce hosted the Honorable Frank-Walter Steinmeier, Minister for Foreign Affairs of Germany yesterday, for an international luncheon to discuss climate and energy policy. Read the Full Article	(March 3, 2009) Governor Arnold Schwarzenegger pictured with German Chancellor Angela Merkel. Photo Courtesy Governor’s Office California Business, State’s Leadership in Technology on Display at World’s Largest Technology Trade Fair

CalChamber Resources

• German American Chamber
• German Consul in California
  • San Francisco Consulate Newsletter
• International Trade FAQs
  • Obtaining a Certificate of Origin
  • Setting up a Business in California
  • Country Studies – Foreign Market Sources
• GO-Biz Stats: German FDI in CA

Business

• U.S. Commercial Service Germany
• German American Business Association
• German American Chamber of Commerce/German Office for Foreign Trade/Invest in Germany 
• Bavarian U.S. Offices / Invest in Bavaria
• The State Portal: Bavaria
• Bayern International
• Go International (Chamber of Commerce)
• Bavaria Foreign Trade Representations
• The State Portal: Baden – Wurttemberg Chamber of Commerce and Industry
• The State Portal: Berlin
• Berlin Partner GmbH
• Berlin Chamber of Commerce & Industry

Cultural/Educational

• Sister State – Baden-Württemberg, Germany
• International Universities/Programs
• Sister Cities International