Germany Mechanical Engineering Orders Jump 21% in June as Non-Eurozone Demand Offsets Eurozone Slump
Updated
Updated · Yahoo Finance · Aug 5
Germany Mechanical Engineering Orders Jump 21% in June as Non-Eurozone Demand Offsets Eurozone Slump
1 articles · Updated · Yahoo Finance · Aug 5
Summary
June orders in Germany's mechanical engineering sector rose 21% year on year after price adjustment, lifted by large-scale plant business from outside the eurozone, VDMA said.
That strength masked weaker nearby markets: first-half non-eurozone orders climbed 16%, while German orders fell 2% and eurozone orders dropped 8%.
For the first half overall, orders were up 5%, showing June's surge improved the broader trend but did not erase subdued domestic demand.
VDMA said uncertainty from global crises is still curbing investment, while Germany and Europe also need structural reforms to improve the business environment.
With local demand plunging, can massive foreign contracts alone save Germany's heavy industry from looming deindustrialization and fierce overseas competition?
Why is investment appetite among German businesses hitting historic lows even as foreign mega-projects artificially inflate the nation's manufacturing numbers?