The lack of material in German industry is no longer quite as serious. In January, 67.3 percent of the companies surveyed by the Munich Ifo Institute were still complaining about problems in procuring parts and materials. In December, for example, it was still 81.9 percent of the 2,300 companies that were regularly surveyed. The head of the Ifo surveys, Klaus Wohlrabe, does not want to give the all-clear yet. “It is not yet clear whether this is a trend reversal,” he emphasized. The material shortage is still particularly high among manufacturers of electrical equipment, where 89.6 percent complain about shortages. For print products and data processing equipment, it is 82.5 percent each. In the mechanical engineering and automotive industries, which are important for Germany, the rate fell by more than ten percentage points: in the automotive industry from 92.9 to 77.9 percent and mechanical engineering from 91 to 80.6 percent. Brexit-related supply chain problems are now also limited. “The main reason is the reorientation to other procurement and sales markets,” said BDI Managing Director Joachim Lang.
Industry – material shortage decreases – economy
