German Sensor and Measuring Technology Association Report Q2 Business Decline
The Germany Association for Sensors and Measurement (AMA), polls its approximately 450 members, about the economic development in the second quarter 2020. According to the AMA gathered data, the industry generated a drop in sales of 8% in the second quarter compared to the previous quarter. Incoming orders in the industry also developed negatively, falling by 13%. The share of AMA member companies that have registered short-time working rose to 55% in the second quarter.
AMA has stated that it is interesting to note that large and small to medium-sized enterprises (SMEs) show similar sales trends, but expectations differ. While SMEs had predicted a 14% drop in sales in the first quarter, they generated a result less negative than originally expected, at negative 8%. The large companies expected a decline of only 3% and have to cope with a drop in sales of 9%.
For the current quarter, SMEs are expecting a 3% decline while the large companies are predicting a 1% decline.
Suppliers to the strongly sensor-driven automotive, mobility, mechanical and electrical engineering sectors suffered the sharpest falls in sales. Expectations for the current quarter are also clouding significantly in these sectors. Suppliers to the semiconductor and medical technology industries and to the company’s own sensor and measurement technology sector are more confident.
“The entire German economy experienced a significant decline in economic output in the first half of the year,” says Thomas Simmons, AMA Managing Director. “Subsequently, this development also pulled sensor and measurement technology into a downward trend. Weak demand from export markets is additionally flanking this sales trend. It is not yet possible to estimate quantitatively how severe the slump will be for sensor and measurement technology manufacturers”.
For more information: www.ama-sensorik.de