Incoming orders April

VDMA: Investors are still unsettled

Incoming orders in the mechanical engineering sector were also disappointing in April, according to the VDMA: compared to the previous year, they fell by eleven percent in real terms. This was the fifth monthly decline in a row.

VDMA Chief Economist Dr. Ralph Wiechers. © VDMA

According to the association, this decline was due to both weak domestic business (minus 15 percent) and a lack of foreign orders (minus 9 percent). "In view of the economic leading indicators, which have been declining until recently, and the constant disruptions from the political environment, the result is not really surprising," explained VDMA Chief Economist Dr. Ralph Wiechers. "The ongoing trade disputes between the major economic blocs, as well as many regional political crises, are causing uncertainty among investors, who are holding back on placing new orders."

Orders from the eurozone were down six percent in April, while orders from non-eurozone countries were down ten percent on the previous year. In a three-month comparison from February to April 2019, orders were down ten percent year-on-year in real terms. While domestic orders fell by ten percent, incoming orders from abroad declined by eleven percent. Orders from the eurozone fell by eight percent, while orders from non-euro countries were down twelve percent. as

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