Overview
- The ifo business climate index for the chemical industry fell to minus 19.4 in October from minus 12.0 in September, signaling a sharper downturn.
- Firms rated their order backlog at minus 68.9, the weakest level in more than three decades, with no near-term demand boost expected from abroad.
- Expectations deteriorated to minus 13.3 and the current situation dropped to minus 25.3, reflecting broad pessimism across the sector.
- Capacity utilization slipped to 71%, far below the ten-year average of 81%, as selling prices fall and costs remain high.
- The VCI reports January–August revenue down 2.9% and forecasts about a 2% production decline in 2025, citing US tariffs and heavy bureaucracy as key headwinds, while ifo says government relief is not sufficient to reverse the trend.