In August 2013, the business climate in manufacturing industryimproved againMonthly business survey (goods-producing industries) - August 2013

According to the business managers surveyed in August 2013, the business climate in industry went on improving. The synthetic index rose by three points, compared with the previous month.

Informations rapides
No 193
Paru le : 29/08/2013
Prochaine parution le : 21/12/2017 at 08:45 - December 2017

Manufacturing industry

According to the business managers surveyed in August 2013, the business climate in industry went on improving. The synthetic index rose by three points, compared with the previous month.

Graphang1 – Industrial economic climate - Synthetic Index

Compared with the previous month, the turning-point indicator still went up and indicated a favourable cyclical dynamic.

Graphang2 – Turning-point indicator

The balance of opinion on past change in production went up, compared with the previous month, and reaches its long-term average. As for the balance of opinion on expected change in production, it remained unchanged, slightly below the long-term average.

Global and export order books improved. Nevertheless, both are still considered lower than usually.

After an increase in July, the balance on general production outlook, which represents business managers’ opinion on French industry as a whole, rose markedly anew. But its level remains less than the long-term average.

Finally, stocks of finished products remained nearly stable and considered in accordance with their normal level.

tableau1 – Industrialists'opinion on manufacturing industrial activity

Balance of opinion, in %
Industrialists'opinion on manufacturing industrial activity
Manufacturing industry Aver. (1) May 13 June 13 July 13 Aug. 13
Synthetic index (2) 100 92 93 95 98
Past activity 4 –4 –5 1 5
Finished-goods inventory 13 11 9 10 12
Global order books –18 –31 –29 –26 –23
Export order books –13 –29 –28 –29 –23
Personal production expectations 5 –2 0 2 2
General production expectations –9 –46 –41 –30 –18
  • (1) Average since 1976.
  • (2) This indicator is standardized with a mean equal to 100 and a standard-deviation equal to 10.
  • Source: Monthly business survey - Insee

Sector-based analysis

MAN. OF FOOD PRODUCTS AND BEVERAGES

In the manufacture of food products and beverages, the balance on past change in production went up slightly but remains still bellow its long-term average. Stocks of finished products rose clearly and are considered above their normal level. Export and global order books still deteriorated slightly and are described as low. The balance on expected change in production improved and becomes higher than its long-term level.

ELECTRICAL AND ELECTRONICAL EQUIPMENT ; MACHINE EQUIPMENT

In the manufacture of electrical and electronical equipment ; machine equipment, industrialists consider that their past activity improved anew and the corresponding balance reaches its long-term average. Stocks of finished products remained unchanged, still considered very higher than their normal level. In spite of an improvement in August, export and global order books remained very low. Business owners were less pessimistic about their production outlook.

MAN. OF TRANSPORT EQUIPMENT

Man. of motor vehicules, trailers and semi trailers

In the manufacture of motor vehicules, trailers and semi trailers, the balance on past activity rose markedly, compared with July, and is now near its average level. Industrialists of this sector remain optimistic about their expected production: the corresponding balance is still above its long-term level. While global order books are still described as very low, export order books improved strongly anew and are considered normal. As for the finished-goods inventory level, it went up markedly but is still considered less than its normal level.

Man of other transport equipment

In August, in the manufacture of other transport equipment, the past activity was still dynamic. Stocks of finished products became heavier and are considered near their normal level. As for the demand, foreign order books are still described as deteriorated, while global order books are considered dynamic. In view of the personal production outlook, the activity should decelerate over the next months.

OTHER MANUFACTURING

According to the business managers, the past activity slightly fell back in the manufacture of chemicals and in the one of basic metals, and markedly increased in the manufacture of pharmaceutical products and in the one of rubber and plastic products. The production expectations in the next months deteriorated sharply in the manufacture of pharmaceutical products. They were still considered deteriorated in the three other sectors, despite a slightly improvement of the corresponding balances in August. In the whole of sectors, export and global order books are still described as low, in spite of an increase of the balances. While the finished-goods inventory remained stable in the manufacture of basic metals, they became lighter in the three other sectors: their level is considered less than their normal level in the whole of sectors, except in the manufacture of pharmaceutical products where it is described as normal.

tableau2 – Industrialists' opinion in a sector-based approach

Balance of opinion, in %
Industrialists' opinion in a sector-based approach
NA* : (A17) et [A 38 et A 64] Aver.** June 13 July 13 Aug. 13
(C1) Man. of goods products and beverages
Past activity 6 1 –6 –3
Finished-goods inventory 12 14 16 21
Global order levels –18 –23 –24 –26
Export order levels –13 –23 –20 –22
Personal production expectations 7 6 7 12
(C3) Electrical and electronic equipment; machine equipment
Past activity 5 –13 –2 6
Finished-goods inventory 17 27 30 30
Global order levels –23 –42 –41 –38
Export order levels –20 –42 –47 –41
Personal production expectations 3 –12 –12 –7
(C4) Man. of transport equipment
Past activity 7 0 7 19
Finished-goods inventory 14 9 –4 11
Global order levels –14 –32 –18 –17
Export order levels –12 –29 –28 –15
Personal production expectations 7 14 8 17
Man. of motor vehicules, trailers and semi-trailers [CL1]
Past activity 2 –34 –28 –2
Finished-goods inventory 11 2 –20 5
Global order levels –20 –47 –46 –44
Export order levels –14 –17 –46 –13
Personal production expectations 2 –2 17 14
Man. of other transport equipment [CL2]
Past activity 15 29 38 29
Finished-goods inventory 20 15 12 18
Global order levels –6 –18 10 9
Export order levels –9 –40 –12 –17
Personal production expectations 14 18 9 7
(C5) Other manufacturing
Past activity 1 –10 0 8
Finished-goods inventory 11 6 5 3
Global order levels –19 –33 –33 –26
Export order levels –13 –23 –22 –20
Personal production expectations 4 –3 –7 –6
Man. of chemicals and chemical products [CE]
Past activity 6 –17 8 4
Finished-goods inventory 7 10 –1 –4
Global order levels –13 –29 –29 –17
Export order levels –8 –27 –17 –16
Personal production expectations 14 –21 –9 –3
Man. of basic pharmaceutical products [CF]
Past activity 17 11 3 47
Finished-goods inventory 10 8 14 10
Global order levels 4 –2 –4 –3
Export order levels 10 –3 –6 –6
Personal production expectations 15 10 4 –41
Man. of rubber and plastics products [CG]
Past activity –2 –17 –13 0
Finished-goods inventory 11 10 10 6
Global order levels –24 –53 –54 –46
Export order levels –18 –36 –47 –44
Personal production expectations –1 –9 –25 –11
Man. of basic metals and fabricated metal products [CH]
Past activity –1 –6 12 5
Finished-goods inventory 7 –1 1 1
Global order levels –19 –41 –33 –30
Export order levels –16 –30 –29 –22
Personal production expectations 1 0 –6 –4
  • * NA: agragated manufacture, based on the NAF rév.2. The describe of the NA is available in the web-page of this indicator.
  • ** Long-term average.
  • Source : Monthly business survey - Insee