The Economy Ministry said on Friday that despite the trade dispute with the US and its impact on growth outlook, the economy remained high.
"The German upswing remains robust despite trade-related uncertainties," the ministry said in its monthly report. "But above all risks from the external economic environment remain high. This can also be seen in the Ifo business sentiment survey," the ministry added.
According to the officials, in year-on-year terms, the German economy expanded by 2.3 percent in the second quarter.
The economic prospects looked uncertain, as earlier this month the EU activated its Blocking Statute in order to protect European businesses and exempt them from complying with the US sanctions against Iran.
Berlin has also had to deal with Washington's new trade policies that include high import tariffs on aluminum and steel, a new package of anti-Russian sanctions, and possible restrictions against German cars.