Sentiment in German car industry deteriorates further
The ifo index for the sector fell to minus 35 points in September, compared with minus 22 in August.
Confidence in the German car industry deteriorated sharply in September. According to the ifo institute, the sector indicator fell from minus 22 points in August to minus 35 points, its lowest level of 2026 so far.
The ifo index combines assessments of the current situation with expectations for the coming months. Companies assessed their current situation much more negatively in September than a month earlier. Expectations had already fallen sharply in August and remained low in September.
Other parts of the survey also deteriorated. Export expectations and employment expectations, which had still improved in August, fell again in September. Companies gave lower assessments of their order books and reported a clear deterioration in their profit situation in the third quarter compared with the second quarter.
The ifo index measures companies’ sentiment, not production, sales or employment directly. A negative index means that pessimistic responses outweigh optimistic ones; it is not the percentage of companies making losses or dismissing staff.
The ifo institute again describes the automotive sector as a sector in crisis. The figures therefore mainly indicate that manufacturers and suppliers view current market conditions and the near future gloomily. The survey does not say which individual companies or countries are responsible for the deterioration.
For Dutch companies, the development may be relevant through supply chains, logistics and European demand for cars and components. That is an economic inference, not a separate conclusion from the ifo survey. Nor does the survey distinguish between all types of cars, component manufacturers and regions.
The new figure follows earlier fluctuations in German sentiment. The central point is that the sector is not only remaining weak but lost ground again in September on almost all key indicators. Official statistics and company reports are needed to assess production and jobs.
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The index, period and sub-indicators were checked directly with ifo and a Reuters report. The possible consequences for Dutch supply chains are presented as an inference, not as a measured effect.
- confirmed The German car indicator fell from minus 22 points in August to minus 35 points in September 2026. — Reported by the ifo institute. source
- confirmed Export and employment expectations fell again in September. — Mentioned in the ifo survey. source
- confirmed Companies assessed their order books and profit situation more negatively. — Stated in ifo’s explanatory notes. source
- confirmed The ifo index measures companies’ sentiment and not production or jobs directly. — Methodological explanation based on the nature of the ifo Business Survey. source
Editor's note
The index and sub-indicators come from the ifo survey for September 2026. The text distinguishes between companies’ sentiment and actual production, jobs or turnover.Sources
- Business Climate in German Automotive Industry Worsens — ifo Institute
- Ifo: Stimmung in der deutschen Autoindustrie sackt ab — Reuters via Onvista
More on this in Dutch media
- Het Parool — „duitsland auto-industrie”
- de Volkskrant — „duitsland auto-industrie”
- NU.nl — „duitsland auto-industrie”