German fashion sales see 'alarming' 7.5% decline abroad

The figure by GermanFashion, a major industry association that represents some 350 German brands including Hugo Boss, Adidas, Brax and Marc O'Polo, was not adjusted for price changes.

Exports to neighbouring EU countries including France, Italy, Belgium and the Czech Republic - usually considered stable markets for German fashion houses - were also down, the association said, citing a high number of shop closures.

Lange also cited the popularity of Asian e-commerce platforms including Shein and Temu as another reason for the decline.

Exports are considered the main driver of Germany's fashion industry, accounting for 40% of total sales. Neighbouring Poland, Switzerland and Austria remained the largest export markets.

Meanwhile, domestic sales remained relatively stable, logging a decline of -0.9%, after manufacturers were able to significantly increase profits in the previous year partly due to a sharp rise in prices.

Total sales fell by a nominal 3.7% to €6.6 billion ($7.2 billion).

The mood in the industry is subdued, GermanFashion president Oliver Seidensticker said, noting a rise in insolvencies and business closures in 2024 compared to the previous year.

The number of manufacturers employing at least 50 workers declined by 7% to 77, while the decline was even more pronounced among small-sized businesses, according to GermanFashion.