Water levels on the Rhine, one of Europe’s busiest shipping routes, rose slightly this week but remained near record lows, disrupting transport and industrial production. The gauge at Kaub, a key chokepoint near Koblenz, reached 14 cm on Wednesday morning from 5 cm earlier in the week, according to WSV data. The river itself is about one metre deeper than the gauge, which is traditionally used to track local water levels. The Bundesbank said in its August monthly report that recent heatwaves and low water levels, particularly on the Rhine, are likely to temporarily impede Germany’s economic growth. Limited navigable routes on major rivers and sharply rising transport costs could significantly weigh on industrial production and export growth. If the Kaub gauge stays below 78 cm for 30 consecutive days, German industrial production typically falls by 1%, according to economic institute IfW; this occurred in 2022 and 2018. Chemical producers, utilities, steelmakers and agricultural traders have warned of higher transport costs and lower output. BVR economists said the low water and heatwaves are only temporarily slowing Germany’s economic recovery and raised their 2026 GDP growth forecast to 1% from 0.5%. WSV forecasts suggest it could take weeks for the river to return to a level normal for this time of year after a months-long drought in many parts of Germany.