Positive data for manufacturing in Lombardy

(Il Sole 24 Ore Radiocor) - Lombardy's economic system continues to show positive signs, despite the difficult international context. The geopolitical risks threatening the flow of international trade with the recent problems related to the Suez Canal combined with the continuation of the German industrial crisis and high interest rates have not affected the Lombard manufacturing sector, which has shown a slight cyclical growth in industrial production (+0.4%) and handicrafts (+0.7%). This was revealed by the economic survey by Unioncamere Lombardia. Thanks to the year-end results, 2023 can be considered a positive year with an annual average increase compared to the previous one, both for industry (+0.2%) and handicrafts (+1.8%). "The Lombardy system is proving to be stronger than the negative international context. Our companies are proving once again that they are able to withstand the criticalities dictated by the global scenarios: as Region we are and will be constantly at their side," saidthe President of the Lombardy Region, Attilio Fontana, commenting on the data. Also improving is the climate of confidence characterised, however, by uncertainty, highlighted by the increase in the share of entrepreneurs who do not expect significant changes in production, turnover and orders. Among the sectors that fared better in 2023 were clothing (+5.5% the annual average) means of transport (+5.4%), food (+2.2%), mechanics (+1.3%) and leather-footwear (+0.7%). Wood-furniture (+0.1%) and non-metallic minerals (-0.1%), mostly linked to construction, practically stagnated. On the other hand, the textile sector (-7.1%), steel (-4.8%), paper-pressing (-3.0%), rubber-plastics (-2.6%) and, to a lesser extent, chemicals (-1.3%) experienced difficulties. The upward trend in prices, both for raw materials and finished products, was weakening. Thanks to uninterrupted order flows, the days of production secured by the portfolio remain at the highest level.

"Negative global influences have slowed us down but not stopped us. Thanks to our companies we remain optimistic. We are doing everything we have to do; now the European Central Bank will lower interest rates and Europe will go back to supporting those who, like Lombardy, produce," pointed out Lombardy Region Economic Development Councillor Guido Guidesi. "The salient fact is that in the fourth quarter of 2023 manufacturing production partly recovered from the slowdown recorded in the summer quarter. This result, which was completely unexpected in light of the negative effects of a critical geopolitical situation, combined with a positive start to the year, has allowed for moderate growth for the entire year and gives us hope for 2024," specified Gian Domenico Auricchio, president of Unioncamere Lombardia.

"Despite the flat trend at the end of the year, Lombardy's economic figures for 2023 are to be viewed positively, particularly for the increase in turnover and foreign orders. 2024, however, opens with two threats to growth: the instability in the Red Sea and the industrial crisis in Germany," added Francesco Buzzella, president of Confindustria Lombardia, specifying that the region "is tied inseparably to the German production system, a system penalised, in favour of the USA and China, by the loss of low-cost energy sources and the greater push towards decarbonisation of the industrial system. If it does not want to follow in the footsteps of Germany, Lombardy will have to find its own path to growth, a path that inevitably passes through energy diversification and opposing the ideology that is dominant today in the European Union and aims to deindustrialise Europe'. Lastly, concluded the president of Confartigianato Lombardia, Eugenio Massetti, "craftsmanship is performing well, with still encouraging signs, especially for the 10-49 employees segment", even if the international uncertainty conditions represent a brake on investments and this is "the element that worries us most, looking to the future, especially with a view to the integration of new technologically advanced solutions".