Business sentiment in Germany’s chemical industry deteriorated in October, with the Ifo index falling to minus 5.9 points from 3.0 in September, according to the Munich-based institute’s monthly survey. Companies were less positive about their current situation, while business expectations dropped to minus 13.8 points from minus 1.5.
The survey also found some signs of improvement. Demand and new orders rose compared with September, prompting companies to plan higher production and further price increases. Capacity utilisation climbed to 76.6%, up from 73.4% in July.
Most of the new orders came from Germany’s manufacturing sector, while business abroad weakened. Ifo industry expert Anna Wolf said companies were concerned about restructuring and site closures, and noted that demand for German chemical products remained strong.
Sources: Handelsblatt.