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Strategies & Market Trends : 2026 TeoTwawKi ... 2032 Darkest Interregnum -- Ignore unavailable to you. Want to Upgrade?

To: Haim R. Branisteanu who wrote (92041)	6/30/2012 12:30:51 PM
From: elmatador	Read Replies (1) \| Respond to of 218916

Cracks open in German industrial defences By Chris Bryant in Frankfurt German industrial companies had proven remarkably resilient against the slings and arrows of the eurozone debt crisis, and generally exceeded expectations in the first quarter. But cautious statements this week from Siemens, the engineering conglomerate, Infineon Technologies, the chipmaker and Salzgitter, the steelmaker, were a reminder that Germany’s industrial economy is not invulnerable. Salzgitter warned that “the economic outlook for Germany and the eurozone as a whole has deteriorated further due to the severe problems caused by Europe’s debt crisis” and that many steel processors now expected business to stagnate. Infineon lowered its sales and profit margin guidance for its fiscal third quarter, saying global uncertainty had “led to a softer than expected development in the company’s operating business”. Meanwhile, Siemens cautioned that demand for its short-cycle products – technology such as industrial automation that is ordered and delivered in a relatively short period of time – had weakened considerably in the past eight weeks. These developments are a blow for suppliers elsewhere in the eurozone that profit from German demand. Germany’s ability to export technology to fast-growing emerging markets has in turn helped it weather the storm in Europe. Now some emerging markets are also slowing. For example, Siemens’ chief financial officer warned that China would remain “very weak” for the remainder of the fiscal year, compared with his previous expectation that Chinese demand would recover in the second half. With recent economic data also hinting at a slowdown, the experience of these companies suggests the second quarter for German industry was much tougher