The mood in the chemical industry is defying the general downward trend, according to the Ifo Institute. Electricity prices are helping.
After two consecutive declines, the business climate in the German chemical industry surprisingly brightened in August. The index compiled by the Ifo Institute rose by 4.2 to a value of minus 5.6 points, as the Munich-based economic researchers announced. The companies surveyed rated the current business situation in particular much more positively, with plus 1.2 points. However, expectations for the coming months deteriorated slightly.
“The mood in the chemical industry is defying the general downward trend,” says Ifo expert Anna Wolf. “The decline in energy prices that has been ongoing for almost a year is contributing to economic stabilization in the chemical industry.”
However, there is far from widespread confidence in the industry. 40.1 percent of companies complained about declining order backlogs. However, export expectations were at least slightly positive.
Source: Stern
