Production and Sales of German Machinery Industry Will Remain Caught in Their Sideways Range in 2015 – New Quest Report
Production of the German machinery industry has been swinging up and down, showing neither an upward nor a downward trend, describing a trendless sideways movement since 2011 and so in 2015.
(PresseBox) (Bochum, )Even the fact that production had exceeded its pre-crisis level in December 2014 for the first time, did not overcome the sideways range because production did not swing in an upward trend but fell again back clearly.
In May production achieved a level with 102.5 index points (data from the German Federal Statistical Office) that is significant below the moving one-year average value of 113.6 index points.
The outlook for production and sales of the German machinery industry in 2015 is continuation of the sideways movements according to the report.
This outlook is based on two substantial changes.
A usual general upward business trend after the world economic crisis is replaced by a close entwinement of growth, stagnation and setbacks of the worldwide industrial production. So crisis overcoming has structurally changed. This change weighs on sales and export markets of the German machinery industry. Two new reports analyze this change.
The export shares of the German mechanical engineering are lagging behind the industrial production in the important export countries. Only the US forms an exception. The related report suggests that demand in the growth countries may prefer simpler machines that do not correspond to the main strength of the German mechanical engineering.