Manufacturing industry expects to invest less this year
- Substantial downward adjustment in investment forecast in metal and engineering
- Chemical industry expects to invest more
- Small rise in investment expected in 2009
According to figures from Statistics Netherlands, manufacturing companies expect to invest 2 percent less this year than in 2007. In the spring forecast they still reported that investment would rise by 11 percent. The expected fall in investment is in line with the sharp deterioration in the mood among manufacturers since September.
Companies in the metal and engineering industry expect investment spending to be 16 percent down on 2007. The downward adjustment in expectations is noticeably large in this sector. In the spring companies in this sector were still expecting to invest 17 percent more in 2008.
Food, drink and tobacco companies also foresee a substantial fall in investment spending this year. Compared with 2007 investment spending in this sector will decrease by 11 percent.
Some manufacturing sectors foresee a positive trend in investment spending in 2008. The chemical industry expects investment to rise by 34 percent in 2008, while the petroleum industry expects an increase of 15 percent.
Manufacturing companies expect to invest 1 percent more in 2009 than in 2008. Most sectors are positive, only companies in the food, drink and tobacco and the petroleum industries expect investment to decrease in 2009.