Steven Beardsley

Business editor at @deutschewelle. Previously @starsandstripes, @BoschStiftung alum.

[Steven Beardsley @sjbeardsley]

Germany's Ifo Institute forecasts 0.8% growth this year, somewhat higher than the govt. expert forecast of 0.5%

That little growth comes at a high price, it notes, considering higher deficits and debt.

[Michael Pettis @michaelxpettis]

It is harder than ever to find good news in China's data release today. The economy continues to be structurally locked into increasing production at the expense of consumption, even though China suffers from many years of growing excess capacity.

China's industrial output, for example, increased by 5.4% year on year in the first five months of 2026, with a 4.5% year on year increase in the month of May. This was a little higher than April’s 4.1% increase, although lower than the 5.7% increase in March.

The uglier numbers were (as always) on the consumption side. For the first five months of 2026, total retail sales grew 2.8%, just over half the pace of industrial output. Although they were barely expected to grow in May, in fact they actually fell by 0.6%, well below the disappointing 0.2% increase in April and the first decline since the end of the Covid lockdown in 2022.

For all the excited claims about consumption spending during the important May holiday, in other words, it was more than offset by the decline in spending over the rest of the month, proving, once again, that what limits household consumption is the household budget, not spending opportunities.

Meanwhile China's fixed-asset investment declined 4.1% year on year in the first five months of 2026.

Last week's trade and debt numbers reinforce the claim that China is finding it harder than ever to restructure its economy. It is expending huge resources in growing output, especially manufacturing output, but Chinese producers rely more than ever on soaring exports to offset weak domestic demand.

So far this year's numbers show that China's economy has further increased its already-excessive dependence on surging debt and soaring trade surpluses to keep GDP growth from slowing. It is not clear how much longer this growth model can be sustained before China is forced into a very difficult economic adjustment, but it is almost impossible for China to exit this model without a sharp slowdown in near-term growth, which is why, for all its promises, Beijing has been unable to adjust.

The problem, of course, is that as long as this process continues, it will increase the final adjustment costs for the Chinese economy and will further undermine manufacturing in the rest of the world.
https://t.co/N6uiKiTPUy

[Steven Beardsley @sjbeardsley]

It's storage and grid that are now crucial for Europe's energy transition, less so generation. Negative pricing has been especially high this year.

https://t.co/dJarlsLQgJ

[Steven Beardsley @sjbeardsley]

ECB's Schnabel says a June rate hike is likely, regardless of what happens in Iran.

"We are seeing increasing signs that the shock is spilling
over [into other prices]" @Reuters

[Steven Beardsley @sjbeardsley]

Our billionaires used to win the America's Cup.

RIP Ted Turner, "Mouth of the South," champion of the Atlanta Braves and the American Bison and such a dominant figure when I was growing up in Georgia.

https://t.co/NrPrh1YoF7

[Steven Beardsley @sjbeardsley]

The base model arrives in September for €24,995.

Here's my story from last September on the new Polo's design departure from the ID line.

https://t.co/lsIlVTSEjK

[Steven Beardsley @sjbeardsley]

Positive reviews for VW's new ID.Polo here in Germany -- Bild calls it the model VW should have brought out years ago (instead of the ID.3 apparently). FAZ praises the design and "real door handles."

https://t.co/LgQwIkk8WX

[Steven Beardsley @sjbeardsley]

Volkswagen's CFO Arno Antlitz hints at further cost-cuts in today's Q1 release:

"Tariffs... the competition in China is stronger and Chinese competition is exporting even more to Europe. In such an environment, the planned cost cuts are insufficient."

[Steven Beardsley @sjbeardsley]

Renault was no longer selling in China when it decided it needed to develop a new car there -- for Europe.

The result is the electric Twingo. It took less than two years to build and says a lot about the car industry. My story:

https://t.co/exAEyK0lB1

[Steven Beardsley @sjbeardsley]

Ausgerechnet in einer Zeit, die von Populismus und Autokraten geprägt ist, wird es am deutschen Auslandssender gespart.

https://t.co/2xkaLZGd2z

[Steven Beardsley @sjbeardsley]

@shashj Mr. Frumble's tanker is being boarded by masked men

[Steven Beardsley @sjbeardsley]

Incoming fed chief's independence in a nutshell

[Steven Beardsley @sjbeardsley]

"Mr. Warsh, did Donald Trump lose the 2020 election?"

"We try to keep politics, if I’m confirmed, out of the Federal Reserve."

"I’m just asking you a factual question... I need to measure your independence..."

"I believe that this body certified that election many years ago."

[Steven Beardsley @sjbeardsley]

An ancient Greek artifact has been found in Berlin -- apparently for the very first time.

A 13 year-old found the coin, which has been dated to the 3rd century BC. The context around its deposition is still unclear.

https://t.co/Wggjbn9omg

[Steven Beardsley @sjbeardsley]

Volkswagen's newest ID.3 looks a bit more like a Golf.

https://t.co/WTLd2XfODg

[Steven Beardsley @sjbeardsley]

Volkswagen and XPENG begin production of their first joint project for the Chinese market -- the ID.UNYX 08 -- and tout the 2-year development time.

VW needs a big boost in China, where its electric deliveries are in hard retreat.

[Steven Beardsley @sjbeardsley]

@WhiteHouse Sorry, you don't roll straight at the head pin and get a strike (:18). You get a split.

[Steven Beardsley @sjbeardsley]

Top voter concerns today in Baden-Württemberg, one of Germany's wealthiest states:

1) Security in Europe
2) Democracy in danger
3) Auto industry struggling
...
7) Too many foreigners

[Steven Beardsley @sjbeardsley]

The courts keep catching up with DJT, but it takes time, and that's an intimidating delay.

"In some instances, even when the administration has walked away from its initial legal position, it has still been able to impose its will."

[Steven Beardsley @sjbeardsley]

Trump's latest failure before the courts: His push against major law firms.

"[It's] he latest example of the White House pushing the limits of the law, benefiting from the lag time between the use of its power and the courts’ response.... "

https://t.co/9Wyj4IbaAS