Business managers of the manufacturing industry plan to increase their investment significantly in 2016Industrial investment survey - July 2016

Surveyed in July 2016, business managers of the manufacturing industry stated that their nominal investment in manufacturing industry had increased by 2% in 2015, revising upwards slightly their previous estimate given in April (+1 point).

Informations rapides
No 215
Paru le : 25/08/2016
Prochaine parution le : 06/02/2018 at 08:45 - January 2018

Surveyed in July 2016, business managers of the manufacturing industry stated that their nominal investment in manufacturing industry had increased by 2% in 2015, revising upwards slightly their previous estimate given in April (+1 point).

Graph1_ang – Annual nominal change in investment in manufacturing industry

  • Source: INSEE - Industrial investment survey

For 2016, business managers have broadly confirmed that they will invest more than last year

For 2016, business managers in the manufacturing industry continue to anticipate a significant increase in their investment (+6%). Investment is set to increase for all main sectors of industry. However, the forecast made in April is revised down slightly by 1 point. This downward revision came from the sector of electrical and electronic equipment and machine equipment and the “other manufacturing industries” sector.

For 2016, investment should resume markedly in the manufacture of food products and beverages (+13% after 0%) and in the sector of electrical and electronic equipment and machine equipment (+10% after +1%). For 2016, investment should also accelerate in the manufacture of transport equipment (+6% after +2%) whereas it is likely to grow at the same pace than in 2015 in the “other manufacturing industries” (+3 %).

Tab1_ang – Real annual investment growth

%
Real annual investment growth
NA* : (A17) and [A38] 2015 2016
estimate Apr.16 observed Jul.16 estimate Apr.16 estimate Jul.16
C : MANUFACTURING INDUSTRY 1 2 7 6
(C1): Manufacture of food products and beverages –1 0 13 13
(C3): Electrical and electronic equipment; machine equipment –1 1 13 10
(C4): Manufacture of transport equipment 3 2 3 6
[CL1]: Motor vehicles –1 –2 1 5
(C5): Other manufacturing 1 3 4 3
  • How to read this table : in manufacturing industry, business managers surveyed in July 2016 observed an increase of 2% in their nominal investment in 2015 comparing to 2014 and forecast an increase of 6% in 2016 comparing to 2015.
  • * The codes correspond to the level of aggregation (A17) and [A38] of the "NA" aggregate classification based on NAF rev.2.
  • Source: INSEE - Industrial investment survey

Investment leaders were more numerous to expect an increase than a decrease in H2 2016

For H1 2016, industrials were significantly more numerous to indicate an increase than a decrease in their investment compared to H2 2015. The corresponding balance (+16) is much higher than the previous value calculated in January 2016 (+4) and it has reached its maximum level since H2 2007.

For H2 2016, industrials remain slightly more numerous to expect an increase than a decrease of their investment compared to H1 2016 (+4).

Graph2_ang – Six-month change in investment (second estimation)

  • Source: INSEE - Industrial investment survey