European Business climate has deteriorated slightly again
The European Agricultural Machinery Industry Association’s (CEMA) general business climate index for the agricultural machinery industry in Europe has dropped slightly for the second time in a row after its continuous rise to positive territory over the last months. In July, the index decreased from +4 points to 0 points (on a scale of – 100 to +100).
Broken down by segment, this time, unlike last month, it is not harvesting equipment and tractors for which the business climate has deteriorated, but instead arable equipment, transportation and components, which have been downgraded.
With a view to the European market side, the confidence index remains low for France, especially when broken down into the large segments of tractors, arable and harvesting equipment. Germany is not ranking particularly well for these segments either. By contrast, confidence remains strong for other important markets, with Spain, Poland and the UK leading the European market ranking.
Regarding the direct customers of the manufacturers, the dealers, the July survey has confirmed the results of the additional questions from April. Following record-high dealer stocks caused by dealers not being able to pass on all orders to end customers, a significant amount of stock has meanwhile been sold off, resulting in stocks being below the average of the past three years across all considered European markets.
Related news:
