According to the Federal Statistical Office¹, new orders in the manufacturing sector fell sharply between September and October (-3.7%) after rises in August and September (+1.9% and +0.7% respectively). Whereas domestic orders increased (+2.4%), there was a strong decline in demand from abroad (-7.6%). After the proportion of large orders was above average in September, their number was below average in October. Excluding this specific development – especially in the field of mechanical engineering – new orders rose by 0.7%.

A broad range of sectors registered order declines. Mechanical engineering saw the sharpest drop (-13.5%). New orders also fell in other important industries, including the automotive and automotive parts sector (-1.0%), chemical products (-0.7%), metal products (-6.1%) and electrical equipment (-4.2%). Only the clothing industry registered a strong increase (+43.5%).

Evaluation: in October, the downward trend in new orders, which has been characterised by volatile large orders in the last few months, continued in view of a sharp decline. Excluding the impact of large orders, new orders have been stagnating since spring. Current sentiment indicators suggest a bottoming-out, albeit at a low level. A lasting recovery of the industrial economy is not expected before the coming year.

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¹ Press release by the Federal Statistical Office of 6 December 2023.