German manufacturing slips 3.9% YoY in July 2023

Other sectors contributing to the overall negative performance include the manufacture of machinery and equipment, which witnessed a 0.7 per cent decline, the Federal Statistical Office (Destatis) said in a press release.

Domestically, the unfilled orders in July 2023 shrank by 0.8 per cent compared to June 2023, while foreign orders fell by 1.0 per cent. A breakdown by producers reveals a decline in stock of orders by 0.9 per cent for intermediate goods producers, and a considerable decrease of 3.1 per cent for consumer goods producers.

The stock of orders had a range of 7.2 months in July 2023, remaining stable compared to June 2023. This metric essentially illustrates the period local units would require to satisfy all existing orders, assuming a steady turnover and no new orders. The range for consumer goods fell to 3.4 months, indicating a faster turnover potential in these categories. This figure is derived from the current stock of orders to the average turnover of the last 12 months in the respective branch.

ALCHEMPro News Desk (NB)