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Shortage of materials in German manufacturing eases slightly

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© Reuters. FILEPHOTO: An employee assembles an Audi new at Ingolstadt’s production line, Germany. March 14, 2018. REUTERS/Michael Dalder

BERLIN, (Reuters) – The German manufacturing industry is experiencing a shortage of raw materials. This was the conclusion reached by the Ifo economic Institute on Friday. After surveying 2,000 businesses in the sector, it said that the situation has improved slightly.

According to Ifo, 75% of April’s companies reported problems with procuring raw materials and bottlenecks, a decrease from the 80.2% recorded in March.

Klaus Wohlrabe (head of survey at Ifo) stated that “it would be wrong not to describe the situation completely relaxed.” China, in addition to the conflict in Ukraine is becoming a concern.

Ifo reported that computers manufacturers are the hardest affected by material shortages. 91.9% of them have reported problems.

Wohlrabe stated, “Right at this moment there is no sign that there will soon be significant relief.”

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