Order minus of 10 percent
VDMA: Mechanical engineering orders decline
In the first quarter of 2019, order books were down 10% in real terms compared to the same period of the previous year. March also saw a 10% drop in orders.
"Incoming orders in the mechanical engineering sector remain under pressure, with the industry recording its fourth consecutive decline in March," said VDMA Chief Economist Dr. Ralph Wiechers, explaining the less than encouraging start to the current year for mechanical engineering companies in Germany.
Orders from abroad fell eight percent short of the previous year's level. While orders from the euro partner countries (minus three percent) got off lightly in March, orders from non-euro countries fell significantly by nine percent despite large-scale plant business. "However, the losses in the month under review were particularly severe in Germany at 15 percent. The export-driven German industry cannot decouple itself from the global uncertainty," said Wiechers.
The ten percent drop in orders in the three-month period from January to March also reflects the current reluctance of many customers in the mechanical engineering sector. Domestic orders fell by seven percent, while foreign orders dropped by eleven percent. Orders from euro countries shrank by 14 percent, while orders from non-euro countries were down ten percent.
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