Industry, Big Enterprises, Production, expectations worsen in November

The November survey signals a marked worsening of expectations among the large industrial companies associated with Confindustria. Almost half of the companies interviewed (46.9%) expect a moderate or significant contraction in industrial production compared to the previous month. However, the percentage of companies that estimate stable production remains high, standing at 46.8%. Only a small share, 6.3%, hypothesizes a moderate increase in production activity, while none predicts a significant increase, marking a negative picture after months in which production was considered stable or growing (Graph 1).

According to industrialists, demand and orders are confirmed to be the main strengths supporting production in the coming months. The balance between the share of companies that consider them driving factors and that which instead considers them obstacles grows significantly, reaching +7.8% (Graph 2).

The availability of labor: returns to be a significant obstacle for production, after a cautious optimism of the previous months: balance at -3.4% from -0.2%.

The production costs continue to worry large industrial companies. The balance worsened: going from -1.5% recorded in October to -3.4%.

The assessments relating to the financial conditions remain steadily in positive territory (+3.0%).

Expectations regarding the availability of materials are improving, while maintaining a negative balance, going from -1.2% in October to -0.3% in November.

The sentiment on the availability of plants, which in the previous survey was almost stable with a balance of -1.3%, undergoes a clear worsening, falling to -3.7% and becoming the main source of concern for industrialists.

Source Confindustria

Study Center

November 28, 2024