German automotive industry sees continued decline in June

ISTANBUL

Germany’s automotive sector remains mired in a prolonged downturn, with the Ifo Business Climate Index for the industry dropping for the third consecutive month in June to minus 32.2 points, down from minus 31.7 points in May, the Ifo Institute reported Thursday.

“The uncertain situation in global trade is coming up against what are already tougher conditions on the global sales markets,” said Anita Wolfl, an Ifo industry expert. “The signals from abroad are still too unclear for optimism.”

The industry’s assessment of its current business situation worsened, with the indicator falling to minus 36.4 points in June from minus 35.1 points in May.

However, business expectations showed a slight improvement, rising to minus 27.8 points from minus 28.3 points in May.

Companies reported a notable improvement in their order backlog compared to the previous month, though it remained in negative territory.

Export expectations, however, continued to fluctuate, declining to minus 13.7 points in June from minus two points in May.