BERLIN - Britain's departure from the European Union has a negative impact on German-British business and a trade agreement can only partly compensate for the downturn, Germany's DIHK Chambers of Industry and Commerce said on Tuesday.

DIHK said 60% of German companies consider their current business situation in Britain to be bad and 57% expect further deterioration this year.

Customs bureaucracy, logistics problems, legal uncertainties and an increase in tariffs are the main challenges German businesses face after Brexit, it said, adding that one in six companies plans to shift investments from Britain to Germany and other EU countries.

(Reporting by Riham Alkousaa, editing by Kirsti Knolle) ((Riham.Alkousaa@thomsonreuters.com;))