Industry – orders collapse – economy

In November, German industry suffered the biggest drop in orders in more than a year due to the strong reluctance of its foreign customers. The orders were 5.3 percent lower than in the previous month, as reported by the Federal Statistical Office. A lack of large orders contributed to this, because many companies are reluctant to make larger expenditures due to rising interest costs, the risk of recession, high energy costs and geopolitical uncertainties such as the Russian war against Ukraine. The crash still comes as a surprise: from the news agency Reuters Economists surveyed had only expected a decline of 0.5 percent, after growth of 0.6 percent in October. “Incoming orders have thus reached their lowest level since July 2020,” according to the statistics office. According to experts, there is no risk of a slump in production.

source site