German Chancellor, Angela Merkel, is planning a nationwide "lockdown light" which could force the closure of restaurants and public events, according to Bild newspaper.
Merkel is expected to push for the measure in a meeting with regional leaders on Wednesday where additional curbs are likely to be decided on.
Schools and some shops would remain open under the newly-considered restrictions, but they would mark a major escalation in Germany's coronavirus response.
The country reported 8,685 new coronavirus cases on Monday.
Infections have been increasing by sometimes record numbers over the past two weeks although they are lower compared to many other European countries.