Since October 2014, optimism has prevailed among Dutch manufacturers. Confidence among Dutch manufacturers is significantly above its long-term average over the past two decades (0.6). The business confidence indicator reached an all-time high (9.4) in January 2008, but dipped to an all-time low (- 23.5) more than one year later.
More positive about future output
In October, Dutch manufacturers are more positive about their future output over the next three months than in September, but less positive about their order books and their stocks of finished products.
In October, two of the three component indicators of producer confidence were positive. Manufacturers anticipating output growth during the next three months outnumber those expecting output to decline in this period. Given the time of year, manufacturers who think the number of orders they received is large constitute a majority over those who think the opposite.
On the other hand, manufacturers are negative about their stocks of finished products for the first time in almost two years. The number of manufacturers who define their stocks of finished products as too large outnumber those who define them as too small.
Producers in the paper and printing industry most positive
Producers in the paper and printing industry are most optimistic, followed by their counterparts in the wood and building materials industry. However, confidence improved most noticeably among manufacturers of transport vehicles and equipment, immediately followed by the paper and printing industry. This is mainly based upon their future output prospects.
|Paper and printing||14.3|
|Wood and construction||11.3|
|Electrotechnical products and machinery||6.1|
Industrial capacity utilisation rate slightly improving
At the beginning of Q4 2016, the industrial capacity utilisation rate stood at 82.2 percent, somewhat higher than in the preceding quarter. Over the past eighteen months, the rate has varied between 81 and 82 percent.
Growth manufacturing output continues
On a year-on-year basis, the average daily output generated by Dutch manufacturing industry was 2.2 percent up in August 2016, but the growth rate slowed down a bit relative to July. Over the past eleven months, manufacturing output has continually been above the level of the same month one year previously. Output realised by the transport equipment sector increased most rapidly in August.
German producer confidence also further up
Germany is an important foreign market for Dutch manufacturing industry. German manufacturers were also more optimistic in October than in September. Their confidence indicator reached the highest level in more than two years. The average daily output generated by German manufacturing industry was 2.3 percent higher in August 2016 than in August 2015.