German industrial orders surge 27.9pc in June

7 August, 2020 12:00 AM printer

BERLIN: New orders for German manufacturing companies surged by 27.9 percent in June, official data showed Thursday, as a rebound which began in May accelerated following a deep slump sparked by the coronavirus pandemic.

Germany's economy ministry said the upturn in orders "took a major step forward in June" and have reached 90.7 percent of the pre-pandemic level in the fourth quarter of 2019, reports AFP.

However, it warned that any further recovery for the export powerhouse "will be slower" because foreign orders are lagging domestic demand.

Domestic new orders showed a surge of 35.3 percent In June, while those from abroad reached 22.0 percent.

Demand from within the European Union was up 22.3 percent, only slightly bettering the 21.7 percent jump from countries outside the bloc.

Capital goods -- or items used by companies to make other products -- led the charge, leaping 45.7 percent from a month ago.

Consumer goods meanwhile showed a lacklustre rise of only 1.1 percent.