Categories: Economy

“Falling manufacturing data heralds moderate economic growth” Related articles

In January, production in the Netherlands was 3% lower than a year earlier. A disappointing number, says BNR in-house economist Han de Jong. After two years of explosive growth, the outlook for 2023 is bleak.

In January, production in the Netherlands was 3% lower than a year earlier. A disappointing number, says BNR in-house economist Han de Jong. After two years of explosive growth, the outlook for 2023 is less rosy. (ANP/Kim van Dam)

According to De Jong, energy prices play a significant role in the decline. However, not all countries are equally affected. The downward trend is not shared with Germany, where production even increased over the same period. “They are equally affected by high energy prices.” The growth is mainly due to the size of the automotive sector, says De Jong. “Sometimes it was different, but right now they are reaping the benefits of this great industry.”

“Falling production figures are, in principle, never good for the economy”

Han de Jong, internal economist of BNR

Bad sign

According to De Jong, the drop in manufacturing data is not a good sign. “Of course you hope that we will eventually set sail together with Germany’s success.” After all, manufacturing offers great material prosperity and plenty of job opportunities as well. “It would be a pity if it were to disappear from us.”

However, De Jong sees the situation bleakly. “Falling production figures, in principle, are never good for the economy.” De Jong points out that there were two years of explosive figures, in the aftermath of the first corona year. “I think we should prepare for moderate economic growth this year.”

Author: Isaac Davids
Source: BNR

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