Industries dealing with metal and electricity - Numerous firms face a scarcity of orders.
The vast majority of companies in the metal and electronics sector of Baden-Württemberg are alarmed about their current situation. A recent survey published by Südwestmetall on Monday highlights their dissatisfaction, particularly with the lack of incoming orders. Only 14% of these companies anticipate more orders this year than the last one. Two-thirds reported getting fewer orders. Moreover, many of them expect a loss in terms of profit, jobs, and investment for the entire year.
Harald Marquardt, the deputy chairman of Südwestmetall, said, "A large number of our companies are currently facing a bleak and challenging situation." Therefore, immediate steps must be taken to address the serious structural issues that hinder businesses from thriving in Germany. The survey interviewed approximately 200 companies in the industry from May 17 to June 4.
The survey also indicates that no significant decrease in domestic investments by these companies has been witnessed over the past five years, as claimed by the companies themselves. However, a staggering 68% of them mentioned that they significantly raised their foreign investments over the same time period. "What breeds the most concern is that nearly every second company is looking to escalate their investments even more abroad within the next five years," commented Marquardt. We can't overlook the cost factor here. "Begging our companies to invest more in Germany is no longer an effective strategy."
