German factory orders rebound 4.4 per cent after August’s slump
German manufacturing orders rebounded in September, led by automotive and machinery orders after a sharp August decline. The provisional monthly figures show a 4.4 per cent increase, but the broader third-quarter comparison is much more modest. Domestic orders grew faster than foreign orders, while other transport equipment moved against the monthly recovery.
Economics & Markets··Midday
September reverses part of August’s decline
Germany’s manufacturing orders recovered in September, rising 4.4 per cent from August in provisional official figures. Automotive and machinery orders contributed to the rebound after a steep decline in the preceding month.[1], [2]
The real monthly measure is adjusted for seasonal and calendar effects. Excluding large-scale orders, the increase was 5.1 per cent. The statistical office revised August’s monthly fall from 10.6 per cent to 10.1 per cent. September orders were 3.3 per cent above a year earlier after calendar adjustment.[1]
Automotive gains contrast with other transport equipment
Automotive orders increased 10.5 per cent after two months affected partly by production changeovers and factory holidays. Machinery and equipment orders rose 8.3 per cent, helped by a large order for engines and turbines excluding aircraft and vehicle engines. Other transport equipment, including aircraft, ships, trains and military vehicles, fell 10.4 per cent.[1]
The quarterly comparison shows modest growth
Third-quarter orders were only 0.2 per cent above the second quarter, or 0.1 per cent higher excluding large orders. Within September, domestic orders rose 6.6 per cent and foreign orders 2.8 per cent. Orders from the euro area increased 4.5 per cent, compared with 1.6 per cent from elsewhere. Real manufacturing turnover rose 0.2 per cent monthly.[1]
