The economy grew by 0.4 per cent in the first quarter of 2025 compared with the previous quarter, the statistics office said on Friday, revising a preliminary reading of 0.2 per cent.
Germany's sluggish economy has not grown at that pace since the third quarter of 2022, when it expanded by 0.6 per cent.
Economic growth was driven by trade and consumption.
Manufacturing output and exports registered stronger growth than initially assumed in March, said Ruth Brand, president of the statistics office.
Exports rose by 3.2 per cent compared with the previous quarter, as US importers brought their purchases forward in anticipation of tariffs.
Household consumption saw stronger growth than in the preceding quarters, rising by 0.5 per cent.
By contrast, government spending declined by 0.3 per cent in the first quarter compared with the previous one.
According to the statistics office, this is due to the provisional budget.
Germany had contracted in the final quarter of 2024 by 0.2 per cent, reigniting recession fears.
A recession is defined as two consecutive quarters of negative growth.
Germany had also been expected to be badly affected by tariffs due to its export-oriented economy.
The US was Germany's biggest trading partner in 2024 with two-way goods trade totalling 253 billion euros ($A445 billion).
After former chancellor Olaf Scholz's coalition collapsed in November, the last government ran out of time to pass the 2025 budget.
Germany has instead been operating on a provisional budget since the start of the year.
Germany's new finance minister has begun intensive preparations for the 2025 and 2026 budgets.
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