German factory orders rose sharply in June - Destatis

According to provisional results of the Federal Statistical Office (Destatis), real (price adjusted) new orders increased by a seasonally and calendar adjusted 27.9% in June 2020 compared with May 2020. Economists had expected a 10.1% increase. Compared with June 2019, the decrease in calendar adjusted new orders amounted to 11.3%. Excluding major orders, real new orders in manufacturing seasonally and calendar adjusted were 23.8% higher than in the previous month.

Compared with February 2020, the month before restrictions were imposed due to the corona pandemic in Germany, new orders in June 2020 were 11.3% lower in seasonally and calendar adjusted terms.

Domestic orders increased by 35.3% and foreign orders rose by 22% in June 2020 on the previous month. New orders from the euro area went up 22.3%, and new orders from other countries increased by 21.7% compared with May 2020.

In June 2020 the manufacturers of intermediate goods saw new orders increase by 10.6% compared with May 2020. The manufacturers of capital goods saw an increase of 45.7% on the previous month. Regarding consumer goods, new orders rose 1.1%.

New orders in the automotive industry increased markedly in June 2020 (+66.5% on the previous month). However, new orders were still 12.2% lower than in February 2020.

For May 2020, there was a decrease of 10.4% compared with April 2020 thus confirming the provisional result published.