Overview
- The Federal Statistical Office reported on Nov. 5 that real manufacturing order intake rose 4.4% month‑on‑month in September 2026 and 5.1% when large contracts are excluded.
- The machinery sector posted strong gains, with the VDMA citing a 14% year‑on‑year increase in September and the VDMA Ost reporting an 18% rise in third‑quarter orders.
- Auto sector orders were a key driver, up 10.5% in September after previous months of disruption from production changes and factory holidays.
- Business surveys from the DIHK show more firms now rate their current situation as good but only 15% expect better business over the next year, reflecting guarded near‑term outlooks.
- Officials and industry groups say the rebound is uneven and volatile because public large orders, pre‑orders tied to the Middle East war, high energy and labour costs, and tariff‑talk risks could prevent self‑sustaining private investment, with many firms hoping for production growth in 2027 while expecting 2026 to remain weak.