Press release No. 329 of 4 August 2022

New orders in manufacturing:
June 2022 (in real terms, provisional):
-0.4% on the previous month (seasonally and calendar adjusted)
-9.0% on the same month a year earlier (calendar adjusted )
May 2022 (in real terms, revised):
-0.2% on the previous month (seasonally and calendar adjusted)
-3.2% on the same month a year earlier (calendar adjusted )

WIESBADEN – Real (price adjusted) new orders in manufacturing decreased by 0.4% on a seasonally and calendar adjusted basis in June 2022 compared with May 2022, according to provisional results of the Federal Statistical Office (Destatis). Not including major orders, a 0.4% increase in new orders in manufacturing was recorded in June 2022. Compared with June 2021, which was characterised by a high value of new orders, this was a calendar adjusted decrease of 9.0%.

The drop in new orders was mostly due to the 4.3% decline of new orders from the non-euro area compared with the previous month. A 1.4% decrease was recorded for total foreign orders. In contrast, the volume of new orders from the euro area rose by 3.4% and that of domestic orders by 1.1%. Both increases were especially due to major orders.

The producers of capital goods recorded a decrease of 1.8%. Producers of intermediate goods saw a rise in new orders of 1.2% in June 2022 on the month before. Regarding consumer goods, orders went up by 1.7%.

After revision of the provisional results for May 2022, a decrease of 0.2% was recorded on April 2022 (provisional figure: +0.1%).

Turnover up 3.0% on the previous month

According to provisional figures, real turnover in manufacturing (seasonally and calendar adjusted) increased by 3.0% in June 2022 compared with May 2022. Compared with June 2021, turnover was a calendar adjusted 3.4% higher.
As regards May 2022, revision of the preliminary figures resulted in an increase of 2.5% compared with April 2022 (provisional figure: +3.2%).

Although new orders declined and turnover increased markedly, the volume of new orders was slightly higher than the volume of turnover in June 2022. The excess demand is likely to be due to the continuing acute shortage of intermediate products. Enterprises still have difficulties completing their orders as supply chains are interrupted because of the war in Ukraine and distortions persist that have been caused by the Covid-19 crisis. 74.1% of the industrial enterprises surveyed complained about bottlenecks and problems in procuring intermediate products and raw materials in June 2022, according to the ifo Institute for Economic Research. The Federal Statistical Office shows the relationship between material shortages and industrial activity in an analysis with continuously updated figures.

Methodological note:

The differing comparative periods must be taken into account in all press releases on short-term indicators. Short-term economic monitoring focuses on comparisons with the previous month or previous quarter. These reflect short-term economic trends. A calendar adjusted comparison with the previous year is intended to offer a long-term comparison of levels and is independent of seasonal fluctuations.

The data on new orders and on turnover are based on the volume index of manufacturing, calendar and seasonally adjusted by means of the X13 JDemetra+ method.

New orders and turnover are covered and evaluated in accordance with the Classification of Economic Activities, 2008 edition (WZ 2008). New orders are covered only in selected branches of manufacturing.

Detailed data and long time series are available from the GENESIS-Online database: indices of new orders (42151-0004) and indices of new orders excluding large-scale orders (42151-0008) and turnover indices (42152-0004).

New orders in manufacturing form part of the Crisis monitor (www.destatis.de/krisenmonitor), by means of which the Federal Statistical Office compares the development of major short-term indicators in the Covid-19 crisis and the financial and economic crisis of 2008/2009. The data are also available on the Corona Statistics webpage (www.destatis.de/corona) and in the Dashboard Germany (www.dashboard-deutschland.de), together with other indicators which can be used to assess the economic consequences of the Covid-19 pandemic. The Dashboard Germany portal of the Federal Statistical Office combines up-to-date indicators of official statistics and indicators of other data providers on the topics of economy and finance as well as health and mobility.