German industry is lacking orders. Almost every sector is affected. But there are exceptions.
The lack of orders in the German economy has worsened. In July, over 39 percent of the companies surveyed by the Ifo Institute reported a lack of orders, up from 38 percent in April. “The lack of orders is putting a strain on economic development in Germany,” said survey director Klaus Wohlrabe. “Almost every industry is affected.”
In the metal and electrical industries, more than half of companies reported a lack of orders, in the automotive industry 43 percent, and in the chemical industry 40 percent. “Demand for temporary workers is falling because of the stagnating economy,” said Wohlrabe. The logistics sector is lacking transport orders from industry.
The weak economy is also affecting the advertising industry, where almost every second company reported a lack of orders. Among service providers, the proportion of companies with a lack of orders fell from 32 to 31 percent. Almost a third of restaurants have too few guests. In the event industry, the proportion is 38.5 percent. “Smaller providers in particular, outside of major events, could handle more events,” said Wohlrabe. According to the Ifo figures, legal and tax consultants, auditors and, depending on the season, beverage manufacturers have little reason to worry.
Ifo communication
Source: Stern
