The shortage of materials in German industry intensified in November. 74.4 percent of companies complained about bottlenecks and problems in the procurement of primary products and raw materials. This is 4 percentage points more than in October, according to a survey by the ifo Institute. "The hoped-for easing has failed to materialize," says Klaus Wohlrabe, head of the ifo surveys. "An end to the bottleneck recession in industry is not in sight."
The number of companies with procurement problems has risen in almost all sectors. The only exception is manufacturers of electrical equipment. Here, the proportion fell at a high level from 90 to 85 percent. However, this sector is still one of the hardest hit. This also includes mechanical engineering with 86% and the automotive industry with 88%. Beverage manufacturers are at the lower end of the scale. Here, 40 percent of companies reported bottlenecks.
The ongoing tense situation in procurement, coupled with a very good order backlog, is not without consequences for price trends. "Never before have so many companies announced that they will increase their prices," adds Wohlrabe.
