Development of new manufacturing orders in July 2021

According to the Federal Statistical Office , new manufacturing orders rose by 3.4% between June and July. Demand for capital goods increased by 5.4%, whilst intermediate goods producers saw their orders decrease slightly, by 0.5%. In contrast, demand for consumer goods expanded considerably, rising by 7.5%. Excluding large orders, order activity dropped slightly, by 0.2%.

In the two-month comparison of June/July versus April/May, new orders also increased significantly, rising by 4.6%. Adjusted for large orders, order activity dropped slightly by 0.3%.

New orders expanded considerably again in July – following the sharp increase in June. This was due to strong foreign demand (+8.0%), particularly from outside the eurozone (+15.7%). In contrast, domestic demand, which had been the driving force behind the rise in orders in the previous month, declined by 2.5%, even though it still remains at a high level. Overall, orders were marked by the strong growth in the production of pharmaceuticals and a large order in other (i.e. non-automotive) vehicle construction. Whilst new mechanical engineering orders once again increased (+1.8%), orders in the similarly important automotive sector declined (-4.3%) – following a substantial increase in the preceding month. New orders are thus continuing the strong upward trend that began at the beginning of the year, with a short pause in May.

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[1] Press release by the Federal Statistical Office of 6 September 2021.
[2] All figures are based on provisional data and have been adjusted for price, calendar day and seasonal factors (X13 JDemetra+ procedure).