Berlin now expects gross domestic product growth of 0.5 percent this year. In January, the government had cut its growth estimate to 1.0 percent from 1.8 percent previously.

For 2020, the government envisages a rebound with economic expansion of 1.5 percent.

Economy Minister Peter Altmaier said trade disputes and Brexit uncertainty were weighing on the German economy. Domestic factors include the introduction of new car emission regulations (WLTP) and unusually low Rhine water levels which have led to supply and production bottlenecks in the industrial sector.