Once Europe's dependable powerhouse, Germany faces economic stagnation

For much of the past two decades, the German economy has been a juggernaut. Rather than hollow out like in so many major economies, its manufacturing sector was bolstered by industrial heavyweights - such as Volkswagen Group VWAGY, Siemens AG SIEGY and auto-parts supplier Continental AG CTTAF - along with hundreds of small, often family-run enterprises that specialized in complex goods honed over decades. Germany shipped out billions of dollars of luxury vehicles, machinery and other products to the world every month, leading to hefty trade surpluses that were increasingly rare in advanced economies. Its financial position was further supported…