Development of incoming orders in the manufacturing industry, reporting month August 2024

Incoming orders in the manufacturing industry recently declined again, after having increased at a low level in the two previous months. According to the Federal Statistical Office, they fell by 5.8% in August compared to the previous month, after adjustment for price, calendar and seasonal effects. In particular, fewer orders were received from the domestic market (-10.9 %), but foreign business also declined (-2.2 %). Excluding the highly volatile major orders, incoming orders fell by a slightly less negative 3.4 % compared to the previous month.

The individual economic sectors of the manufacturing industry showed different developments: While the areas of pharmaceutical products (+7.3%), mechanical engineering (+6.9%) and metal production (+3.3%) were able to record noticeable increases, the areas of motor vehicles/motor vehicle parts (-0.5%), chemicals (-3.2%), data , electrical and optical equipment (-5.0 %), electrical equipment (-6.6 %), metal products (-14.1 %) and, in particular, other transport equipment (-50.9 %), which is heavily influenced by major orders.

In the less volatile three-month comparison, new orders increased noticeably by +3.9 %. However, the hopes that the decline that has now occurred might have bottomed out have been dashed again. Their development continues to be significantly influenced by strong fluctuations in major orders. For example, domestic business in other vehicle construction, which is characterised by large orders, has recently slumped by three quarters, albeit after strong growth in previous months. In view of the continuing weakness in demand and the continued deterioration in business sentiment, a noticeable recovery in industrial activity in the second half of 2024 is unlikely.