German foreign direct investment surged to €96 billion in 2025, more than double the €43 billion of 2024, according to the German Economic Institute (IW). The jump means Germany now attracts more foreign capital than it sends abroad for the first time since 2003, a situation the institute links to chaotic policy shifts in the United States under former President Donald Trump. IW trade expert Jurgen Matthes said uncertainty abroad has made Germany’s stable legal environment a competitive advantage for global investors, especially in research and production. While the inflow benefits Germany, the analysis notes that the U.S. faces damage from its own unpredictable policies, which have spurred firms to look elsewhere. The report was highlighted by Digi24 on 25 January 2026 and cites data from the German central bank. The story was penned by B.P. and features a photo of a Ford factory in Cologne, Germany.

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