While autumn in Tyrol is still showing its golden side, almost black clouds are gathering over the industry. As shown by the business survey of the Federation of Austrian Industries (IV), the business climate index fell from 37 points in the second quarter to 24 in the third quarter. So the curve points steeply downwards and even reaches the negative zone in a ten-year comparison.
Only 43 percent of the companies surveyed report a good order book. A decrease of no less than 28 percent compared to the second quarter. 17 percent even speak of a bad situation. But it’s not just the order book that looks bleak. Only 47 percent rate the current business situation as good, a decrease of 14 percent.
Alarming: Only a meager percentage of respondents expect the business situation to be good in the next six months. Meanwhile, 53 percent expect it to go even further downhill.
Only 14 percent expect production to pick up
Unsurprisingly, 31 percent expect manufacturing activity to decline, 55 percent to remain flat and only 14 percent to pick up. In addition, rising purchasing costs increase the pressure on selling prices. 42 percent of the companies describe the export order situation as good, 45 as average and eight as bad. The shoe pinches for staff too: only 13 percent rate their number of employees as good, compared to 28 percent in the second quarter. Another 58 percent rated it as average and a full 27 percent as poor.
“The wave of crises is weighing down the mood. There is now an urgent need to take countermeasures at all levels,” summarizes IV director Eugen Stark. Here too, the new state government is required.
Source: Krone
I’m Wayne Wickman, a professional journalist and author for Today Times Live. My specialty is covering global news and current events, offering readers a unique perspective on the world’s most pressing issues. I’m passionate about storytelling and helping people stay informed on the goings-on of our planet.
