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German economy nears stagnation in first quarter with coronavirus outbreak

Containers of Maersk, MSC and Hapag-Lloyd are seen at a terminal in the port of Hamburg, Germany November 14, 2019. REUTERS/Fabian Bimmer

BERLIN (Reuters) - Germany’s economy is nearing stagnation in the first quarter due to the coronavirus outbreak, the DIW economic institute said on Wednesday, adding that German industry would be particularly hit if the virus continued to spread worldwide.

DIW said Germany’s gross domestic product in the first quarter would grow by just 0.1% compared to the previous quarter.

“So far, however, the corona effect has been unclear and cannot be quantified,” DIW Economic Director Claus Michelsen said in a statement.

He said German industry would be particularly affected if a global outbreak of the virus led to supply disruption for wholesale products sourced from China.

Reporting by Riham Alkousaa; Editing by Madeline Chambers