German exports fell in October for the second month in a row, official data showed on Friday, as high inflation and soaring energy prices weigh on Europe's largest economy.

Germany exported €133.5 billion worth of goods in October, a 0.6 per cent drop on the previous month, according to seasonally-adjusted figures from federal statistics agency Destatis.

The dip surprised analysts surveyed by Factset, who had expected a slight jump in exports.

The setback, which comes after exports already slipped by 0.5 per cent in September, was mainly down to softer demand from European Union countries, according to Destatis.

The continent is reeling from the fallout of Russia's war in Ukraine, which has pushed up energy prices and sent inflation soaring to record heights.  

The cost-of-living squeeze coupled with lingering global supply chain issues have left Germany bracing for a recession.

In a sign of cooling consumer demand, imports plunged 3.7 per cent in October month-on-month to €126.6 billion – widening Germany's trade surplus to €6.9 billion.

In a sign of cooling consumer demand, imports plunged 3.7% in October month-on-month to €126.6bn – widening Germany's trade surplus to €6.9bn

The United States remained the country's biggest customer in October, despite a steep 3.9 per cent decline in demand for "made in Germany" goods.

Shipments to key market China meanwhile were flat, dampened by Beijing's ongoing COVID-19 related restrictions.