Document: 2021-04_CEMA_Business_Barometer_Report.pdf

 The general Business Climate Index for the Agricultural Machinery Industry in Europe has risen to its highest level since 2011 after having reached the positive range in October for the first time since mid-2019. In April 2021, the index is at +66 points (on a scale of -100 to +100).

Based on a record volume of accumulated incoming orders, very high levels of turnover have already been secured for the coming months. Moreover, only 3% of the industry representatives expect their incoming orders to decline. Other than during previous upswing periods (e.g. in 2010 or 2017), the current business improvements do not lag behind improved future expectations. It rather appears that the industry is continuously adjusting its future expectations to a surprisingly well-performing current business and to an ever-increasing order intake from month to month.

Also with view to the market side in Europe, the industry representatives have again further raised their expectations for most countries. The regional breakdown shows meanwhile for each single European market a majority of survey participants expecting turnover increases in the next six months. Accordingly, dealer stocks with new machines have been significantly reduced over the past months and may have already fallen below the optimal level in some markets. Likewise, the used machinery stock has been generally cleansed (less for combine harvesters).

2021 04 Barometer