Osterhorn, Friday, 16.09.2022
The US $ in EURO 0,9970

What happened this week

Actually, one can save on reports.  If one is honest, very little or actually almost nothing has happened in our business since the end of the holiday season. The industry is working in routine mode at the moment and is taking care of the orders that, with a few exceptions, already existed before the holidays. Otherwise, the activity in the different markets is extremely dependent on the different situations. In China, a certain paralysis continues to dominate, resulting from the handling of the pandemic. Recurrent lockdowns are hampering business activity, and this is compounded by the weak property market and general caution in anticipation of the major Chinese Communist Party congress. All this together has simply led to a very wait-and-see position in the world’s second largest economy. In Europe, everything revolves around the energy supply for the coming winter. In most European countries, energy prices have risen massively and are only influenced by various government interventions. In addition to the price, the uncertainty of the energy supply is a burden and where this is not enough there are still supply bottlenecks in the most diverse products and for the most diverse causes. The only positive thing to note is that sea transport costs have been falling again for some time and thus represent at least a small compensation here and there for the otherwise so sharply increased costs. In our sector we have seen a typical week, as we unanimously see almost always before the Fair in Milan. Even in normal years, the fair is a very strong indicator for the business development of the coming 6-12 months. This is certainly more true this year than ever