World

Germany's industry shows "clear signs of braking" amid energy crisis: ministry

BERLIN
2022-10-07 00:09

Already collect



BERLIN, Oct. 6 (Xinhua) -- Against the background of the energy crisis, Germany's industrial economy was showing "clear signs of braking," the Ministry for Economic Affairs and Climate Action (BMWK) said on Thursday in a release.

Industrial orders in August declined 2.4 percent month-on-month, BMWK cited the statistics of the Federal Statistical Office (Destatis) as saying.

Among the industrial orders, domestic orders for Germany's industry in August fell by 3.4 percent on the previous month, while foreign orders went down by 1.7 percent, according to the ministry.

"The subdued outlook for the remainder of the year is also reflected in a cooled business climate and cautious export expectations," BMWK said.

Nevertheless, Germany's large automotive and mechanical engineering industries still recorded increases in orders in August, up 4.7 percent and 3.8 percent, respectively, the ministry noted.

A spokesperson for the German Association of the Automotive Industry (VDA) told Xinhua that this increase in orders is a result of "catch-up effects" in the wake of bottlenecks in supply chains. However, shortages of inputs and intermediates, as well as "general uncertainty" due to the Russia-Ukraine conflict, continue to have a "dampening effect on the development of the market and production," the VDA spokesperson added.

Besides the German car industry, manufacturers of machinery and equipment have also been particularly affected by supply shortages. According to the ifo Institute for economic research, three out of four companies in both sectors reported bottlenecks last month.
Add comments

Latest comments

Latest News
News Most Viewed