Danish industrial production has taken revenge after a sluggish January, when the output of Danish industrial companies fell by 11.9 percent. In February, it rose by 5.1 percent, thus regaining some of the losses. However, this does not change the fact that production in the months of December, January and February was 3.9 percent lower than in the previous three months.
- The recent decline in industry is mainly due to a dip in the production of medicine.
- Production in the pharmaceutical industry can fluctuate greatly from month to month, and therefore the large fluctuations must be interpreted very cautiously, says Allan Sørensen, chief economist at the Confederation of Danish Industry.
However, he predicts that the industry will face turbulent times as a result of the new tariffs that US President Donald Trump will introduce on goods imported from abroad.
This will be felt in a country like Denmark, where 70 percent of production is sold outside the borders. The tariffs will probably affect both direct exports to the USA, but the expected weakening of the entire world economy may also reduce demand for Danish goods in general.
Erik Bjørsted, chief economist at Dansk Metal, is more optimistic. He believes that Danish industrial companies are competitive and well prepared for the storm that may lie ahead. They just have to solve the task of finding buyers for their goods other than the Americans.
- The EU must conclude more trade agreements with other parts of the world, so that Danish and European companies can more easily gain access to new markets.
- Therefore, the trade agreement with South America must be dribbled all the way to the finish line, just as new trade agreements should be concluded with, for example, Australia, says Bjørsted.
He also has high expectations for the announced German growth package, which is intended to breathe life into the weakened German industrial sector.
jel /ritzau/
Text, graphics, images, sound, and other content on this website are protected under copyright law. DK Medier reserves all rights to the content, including the right to exploit the content for the purpose of text and data mining, cf. Section 11b of the Copyright Act and Article 4 of the DSM Directive.
Customers with IP agreements/major customer agreements may only share Danish Offshore Industry articles internally for the purpose of handling specific cases. Sharing in connection with specific cases refers to journaling, archiving, or similar uses.
Customers with a personal subscription/login may not share Danish Offshore Industry articles with individuals who do not themselves have a personal subscription to Danish Offshore Industry.
Any deviation from the above requires written consent from DK Medier.
