The economic climate continues to deteriorate in the building industry in March 2013Monthly survey of building - March 2013

According to the business leaders surveyed in March 2013, the situation continues to deteriorate in the building industry: the synthetic indicator of business climate lost a point and stays below its long-term average. The turning-point indicator is in the unfavorable zone.

Informations rapides
No 69
Paru le : 22/03/2013
Prochaine parution le : 24/10/2017 at 08:45 - October 2017

According to the business leaders surveyed in March 2013, the situation continues to deteriorate in the building industry: the synthetic indicator of business climate lost a point and stays below its long-term average. The turning-point indicator is in the unfavorable zone.

Activity remains deteriorated

The business leaders considered that their activity remains deteriorated in the recent period. The business leaders stay pessimistic about their activity in the next months.

Decreasing employment

Employment in the building industry is grim: the balances of opinion corresponding to past employment and expected employment are significantly below their long-term average.

Climate – Business climate synthetic indicator

TurningPoint – Turning-point indicator

  • Lecture : close to 1 (respectively -1), it indicates a favorable climate (respectively unfavorable).

Tableau1 – Building industry economic outlook

Balances of opinion, in %, SA
Building industry economic outlook
Mean* Dec. 12 Jan. 13 Feb. 13 March 13
Business climate 100 95 94 93 92
Past activity –2 –18 –19 –22 –25
Expected activity –5 –22 –24 –22 –24
Gen. business outlook –17 –44
Past employment –2 –12 –15 –18 –18
Expected employment –2 –16 –14 –16 –17
Opinion on order books –19 –39 –41 –41 –42
Order books (in month) 5,2 7,0 7,0 7,1 7,1
Productive capacity utilisation rate 89,0 86,2 87,3 87,3 86,6
Obstacles to production increase (in %) 34 22 19 18 19
- Because of workforce shortage(in %) 16,0 4,7 5,6 4,4 4,4
Hiring problems (in %) 60 45
Expected prices –12 –27 –30 –29 –33
Cash-flow position –8 –16
Repayment period 27 36
  • * Mean since september 1993.

Order books are again considered as significantly lower than normal

In March, business leaders were almost as numerous as in February to consider their order books lower than normal. The corresponding balance of opinion is in a level inferior to its long-term average.

The March’s order books could provide 7.1 months of work with full-time staff.

Productive capacity underused again

The productive capacity utilisation rate was slightly declining and stays below its long-term average. At the same time, one business leader in five declared having difficulties to increase their activity.

Prices not very dynamic

In March, business leaders were more numerous as in February to indicate price downturns. However, the corresponding balance of opinion remains inferior to its long-term average.

Pcur – Productive capacity utilisation rate

Activity – Activity tendency in the building industry

Workforce – Workforce size tendency in the building industry

OrderBooks – Order books