Germany and Guatemala maintain good and intensive relations in the political, cultural and economic sectors, as well as in development cooperation. In 2022, the two countries celebrated 175 years of diplomatic relations (originally established between Guatemala and the Hanseatic cities of Hamburg, Bremen and Lübeck). Germany and the Germans traditionally enjoy a very good reputation in Guatemala. Around 4000 German nationals and many Guatemalans of German descent live in the country.

Trade between Guatemala and Germany was worth 600 million euro in 2024 (German exports to Guatemala approx. 497 million euro; German imports from Guatemala approx. 102 million euro).

An investment protection agreement has been in force since October 2006.

The German-Guatemalan Chamber of Industry and Commerce has some 150 members and plays a major role in promoting bilateral economic relations.

Development cooperation focuses on democratic governance (promotion of the rule of law and violence prevention), vocational training/labour market integration and migration, as well as environmental protection, including adaptation to climate change and protection of the biosphere, and the supply of energy. Support is also given to projects in the fields of good governance (especially transparency of fiscal policy and digitalisation) and sustainable economic development. The implementing organisation GIZ has an office in the country. In addition, many German civil society and church organisations implement development projects in Guatemala, principally in areas inhabited mainly by indigenous peoples. Germany’s political foundations are also active in Guatemala.

The Asociación Alejandro von Humboldt runs the German School, the German Language Institute, the German Cultural Institute and the Club Alemán. Students attending the German School earn the Guatemalan Bachillerato and the German university entrance qualification (Abitur).
Many students are interested in studying in Germany due to the relatively large number of Guatemalans of German descent.