German expansion east dampens trade with W. Europe

BERLIN, Sept 18 (Reuters) - German corporate expansion into eastern and central Europe has led to a significant reduction of foreign trade with western Europe in some sectors, the Bundesbank said in its latest monthly report on Monday. The German central bank said although there had not been a big shift in production capacity from sites in the old European Union to the new, mostly eastern European member states, there had been "notable shifts" in the structure of foreign trade.