Document: 2019-06_CEMA_Business_Barometer_Report.pdf

The general business climate index of the agricultural machinery industry in Europe has continued to deteriorate significantly. While previously it had been primarily future expectations that dragged down the index (last month future expectations have dropped as sharply as they last did in May 2016), meanwhile the current business also seems to be affected.

The industry representatives confirm in the survey that incoming orders, both from the EU and from outside the EU, decreased in the last month. The high order volume, as seen in the last survey, based on the strong order intake in the previous months, is thus diminishing.

For the first time since 2016, there is now again a majority of survey participants expecting turnover declines from most European markets in the coming six months. France, Spain, Italy, Switzerland and the CIS countries remain as positive exceptions.

The further development of the general business climate might, among others, depend on whether growth rates in these markets can be maintained beyond the next 6 months. In fact, the industry remains surprisingly positive with regard to the year as a whole. On average, the companies still expect an increase by 3% in 2019.

Barometer 06 2019