Significant increase in orders in the automotive industry in June

In June, the manufacturing industry in Germany recorded a 3.9% increase in orders compared to the previous month. Previously, it had fallen for five months in a row, according to the Federal Statistical Office. Experts had expected a much lower increase. The positive trend in incoming orders was due in particular to the significant increase in the automotive industry. Adjusted for seasonal and calendar effects, this amounted to 9.3 percent compared to May.

Growth of 9.8% in the manufacture of metal products, 11.7% in other vehicle construction – aircraft, ships, trains – and 9.2% for capital goods also had a positive effect. On the other hand, there was a decline of 7.9% in the manufacture of data processing equipment, electronic and optical products and a drop of 7.1% in consumer goods.

According to the Federal Statistical Office, incoming orders in the second quarter of 2024 were 1.4% lower than in the first quarter of 2024 in a three-month comparison. Excluding major orders, incoming orders in June 2024 were 3.3% higher than in the previous month and 1.4% higher in the second quarter of 2024 than in the first quarter of 2024.

Turnover declined

The increase in new orders in the manufacturing sector is largely due to new domestic orders. These rose by 9.1%. Foreign orders increased slightly by 0.4%.

Seasonally and calendar-adjusted turnover in the manufacturing sector fell by 0.9% in June compared to the previous month of 2024. Compared to June 2023, calendar-adjusted turnover was 5.0% lower.

The German Association of the Automotive Industry (VDA) recorded a 12% increase in domestic orders in July compared to the same month last year. However, the comparable month was "extremely weak", according to the VDA. Orders from abroad grew by 2 percent.

(anw)