Positive signals but crisis not over for Europe's technology industries
4 May 2021
Twice a year, Orgalim’s economists compile and analyse the latest economic trends for Europe’s technology industries.
The spring report, published hereafter, shows that 2021 will remain under the sign of the crisis. Recovery is on the way but it is slowed down by supply chain disruptions and a third wave of infections in the first months of the year. The upswing in the second half of 2020 brought production levels a big step closer to pre-crisis levels, but we are still seeing an incomplete recovery in Europe’s technology industries, with significantly slower growth in the beginning of the year.
"In the autumn report 2020 we wrote of a year 2021 in the sign of a crisis. The signs have improved since then but the main message is still true. The willingness to invest does not point towards a significant improvement in the production situation in the short term, but this can change quickly", explains Martin Baminger, chair of Orgalim’s Economics & Statistics Working Group.
It has seldom been so difficult to assess the further course of the year. Should the pandemic situation improve, and the vaccination campaign progresses successfully, there is potential for a significantly better second half of the year than we are currently anticipating.
"The latest economics report from Orgalim's economists shows that the crisis is far from over for Europe's technology industries. Aside from the uncertainty over the pandemic situation which is impacting investment, the shortage of industrial prematerials is becoming more and more an obstacle to the future economic recovery of Europe’s technology industries," says Malte Lohan, Director General of Orgalim.
Read below the spring economic report highlighting the impacts of the COVID-19 crisis on the technology industries in 2020, current challenges and the potential for further recovery.