Germany’s Glass Industry Sees Bleak Future
Expectations among German manufacturers of glass, ceramics, stone, and other nonmetallic minerals have dropped to their lowest level since 1991. In September, the ifo survey put this indicator at minus 62 points for this energy-intensive segment. “The gloomy mood in construction, skyrocketing energy prices, and uncertainty about the stability of gas supplies are making this segment more pessimistic than ever about the future,” says ifo industry expert Nicolas Bunde.
Companies also scaled back their production plans: this indicator dropped to minus 16.8 points, down from minus 9.9 points in August. In terms of production value, this segment has one of the highest shares of energy costs in manufacturing. Nevertheless, companies still assessed the current business situation as predominantly positive in September, at plus 28 points. “The large order backlog, which continues to be above the long-term average with a range of 3.3 months, is likely to play a role here,” Bunde says.
