By Maria Martinez
The procurement of raw materials and intermediate products remains a major problem for the German manufacturing sector, according to the Ifo Institute.
In July, 73.3% of the companies surveyed reported bottlenecks. In June, the figure was 74.1%.
“In addition to the fundamental shortage of electronic components, problems in global logistics, and especially in shipping, are still adding to procurement woes,” Klaus Wohlrabe, head of surveys at Ifo, said in a note.
The situation in German manufacturing’s core industries remains critical, he said. In the electrical and electronics industry, among manufacturers of machinery and equipment, and in the automotive industry, the share of companies reporting that they aren’t receiving all the materials and intermediate products they need is still around 90%.
“There are no signs that a significant recovery in the procurement of key materials is likely in the coming months,” Wohlrabe said.
The situation among beverage producers has worsened significantly in July, as 70.5% of companies are affected by shortages, up from 47.9% in June. In contrast, the situation in the clothing industry has eased, with 64.1% of companies still reporting bottlenecks, down from 81.7% in June.
Write to Maria Martinez at [email protected]
Credit: www.marketwatch.com /