The general business climate in the agricultural machinery industry remains low according to CEMA. Source AFDJ eNews
Future expectations picked up slightly, but according to CEMA it is important to bear in mind the record low level reached the previous month.
Unfortunately, a large majority of companies surveyed expect turnover drops in many important European markets.
Germany, Poland and Austria continue to figure at the bottom of the country ranking.
The UK has recovered to some extent after the Brexit shock. It seems now to “stabilize” slightly above these countries.
On the top, the French market has declined sharply, reaching the same low levels, which might not fade away in the short-term.
Finally, Italy seems to be also balancing out on low confidence levels.
By contrast, the only bright spot is Spain. Good harvest results and favourable prices for pigs and special crops seem to outweigh the uncertain political circumstances. Spain stands as the only market where manufacturers expect turnover increases.
Industry’s forecasts for 2016 have been confirmed. The first outlook for 2017 shows slight growth, whereas one third of manufacturers see a turnover decline for next year.