Germany’s electrical and digital sector recorded a 9.5% rise in orders for the first half of the year, the ZVEI sector blockociation announced in Frankfurt on Tuesday.
A rise of 0.7% in production during the first six months has put the sector’s full-year target of 2% growth after inflation within reach. The ZVEI reported that sentiment was improving, with blockessments of the current situation and general business expectations noticeably improved.
The first-half increase in orders came in roughly equal parts from Germany, where orders rose by 9.7%, and from abroad, where they increased by 9.4%.
The 13.3% increase in orders in June was driven entirely by domestic orders, which rose by an unusually large 60.7% on the year.
“Large orders in the information and communications technology sector were the key drivers,” ZVEI chief economist Andreas Gontermann said. Orders from foreign customers fell by 11.3% in June.
The industry, which employs around 865,000 people, is concerned about developments in The Gulf and the war with Iran.
“Concerns about material shortages in the broadest sense have increased significantly again,” Gontermann said.
