Turnover in the manufacturing sector in Germany (industry + other companies such as food production etc.) fell by 0.2% in comparison with December to January, as recent official data show. Incoming orders also fell by 3.9% in this month-on-month comparison. Is that bad?
No, because please look at the big picture at the same time. This shows that the comparisons between months contain seasonal fluctuations which distort the overall picture. Only annual comparisons between the same months make sense. Order intake rose by 8.2% from January 2016 to January 2017.
From December 2016 to December 2017, new orders increased by 7.9% according to freshly revised figures from today. Turnover from November to December (the month-on-month comparisons) was up by 3%, which shows the large fluctuations from month to month. The outlook for the coming months will therefore remain more than rosy, thanks to the order situation.
The graph below shows new orders in the manufacturing industry since 2010.
Shown here are the sales figures since 2010.