Business Expectations in Germany’s Chemical Industry Brighten Further
The ifo Business Climate in Germany’s chemical industry brightened in April. It rose to minus 3.1 points, up from minus 10.5 points* in March, according to the ifo Institute survey. There was a particular improvement in business expectations, with that indicator rising to 13.3 points – its highest level since December 2021. However, the majority of companies surveyed described their current situation as poor. “The chemical industry is deriving confidence from the easing in supply bottlenecks and lower energy prices. But this industry’s current order situation remains weak,” says industry expert Anna Wolf of the ifo Institute.
Now that the cost of energy and raw materials is going down again, companies are planning to expand production once more. Employment expectations, however, remain negative. “Companies are clearly planning to cut costs, especially as prices for chemical products are set to be slashed again,” Wolf says.
*Seasonally adjusted
