War in Ukraine causes great concern among FHI members

The war in Ukraine is causing great concern among FHI members in all sectors. This is evident from the Economic Barometer for the first quarter of 2022. For example, there is the fear that turnover will decline.

Between 30 and 60 percent of the members surveyed indicates that the conflict in Ukraine is causing a decrease in the order portfolio. The same picture can be seen in the turnover expectations. There is also great fear that the supply of products will stagnate. Nevertheless, in the first quarter the expectation for the order position in all sectors is high compared to the corona period.

The Industrial Automation sector also notices the impact of the war. More than 80 percent expect problems as a result of this conflict. People are afraid of rising energy prices, increasing purchase prices and disruptions in supplies. Nevertheless, the majority is positive about the future when looking at the turnover expectations.

Among members of the Laboratory Technology sector there is less fear of the consequences of the conflict in Eastern Europe: 60 percent do not expect a major impact. However, in this sector too, the feeling prevails that the supply chain could get stuck. The purchase prices are also a source of concern.

Within the Building Automation sector members are struggling with rising purchase prices. There is also fear of cyber attacks and stagnation in the supply chain. Nevertheless, the order position is positive for most members and the majority does not think that it will deteriorate quickly. In the long term, GA members mainly see their opportunities in the energy transition.

Like the other branches, the members of the Industrial Electronics sector feared problems in the supplies. The purchase prices are also problematic. Nevertheless, the order positions show that the industry members did well in the first quarter. People are also relatively positive about the coming quarter.

The Medical Technology sector is relatively the least afraid of the consequences of the war: 50 percent indicate that they expect problems. Rising purchase prices of raw materials cause the most stress among respondents. The majority of members expect that turnover in Q2 will remain the same.