The business climate in the German auto industry has improved slightly. In September, the indicator rose to -14.7 points, after -18.1* points in August.
“German automakers and their suppliers are satisfied with their current situation, while expectations remain in the cellar,” said Oliver Falck, head of the Ifo Center for Industrial Economics and New Technologies.
The auto industry assessed the current business situation at 20.9 points in September, down from 13.2* in August. Expectations rose only slightly from -44.8* points to -44.6 points.
The supply of key input products remains tight. This was stated by 53% of the companies surveyed. Despite this, manufacturers and suppliers plan to increase production in the coming months and pass on the increased cost of manufacturing.
Further, the auto industry is adjusting to making do with fewer staff.
“On the one hand, fewer employees will be needed in the structural shift to electromobility, and on the other hand, recruiting staff will become more difficult due to the shortage of skilled workers,” says Falck.
*Seasonally adjusted corrected
Click here for the ifo Konjukturperspektiven 09/2023
