Material Shortages Ease in German Manufacturing
Material shortages in German manufacturing have eased. In November, 59.3 percent of the companies surveyed reported problems, down from 63.8 percent in October – the lowest level since April 2021. This is a finding from the ifo Institute’s latest survey. “The numbers give us hope. Nevertheless, it’s too early to say that the situation has fundamentally eased,” says Klaus Wohlrabe, Head of Surveys at ifo. “There are still a lot of orders that can’t be processed.”
In the automotive industry, the share of companies facing shortages in fact rose from 74.9 percent to 83.2 percent. The share among manufacturers of machinery and equipment fell, but only to 78.7 percent. It is also above 70 percent for beverage producers and for manufacturers of electrical equipment as well as of electronic and optical products. The situation for manufacturers of basic metals has eased noticeably: at 16.1 percent, the share of companies is as low as it was at the beginning of the procurement crisis.
