Economy in Saxony: Industry defies the crises with sales growth

Saxon industry recorded growth in 2022 despite ongoing crises. According to the State Statistical Office, the price-adjusted turnover of industrial companies rose by 3 percent year-on-year to 75.9 billion euros, which is higher than the nationwide increase of 2 percent. In November, a record result of almost 7.8 billion euros was even achieved. Taking into account the strong price increases, the nominal increase in sales of the Saxon industry in 2022 totaled 16 percent.

The increase is mainly due to the dynamic development of sales in industries such as motor vehicle manufacturing, the production of data processing equipment, electronic and optical products, and the production of chemical products. In the same period, new orders in Saxony's industry fell by around 5 percent in real terms, due to declines in foreign business.

The value of Saxony's exports rose by 17 percent in nominal terms last year to 52.7 billion euros, while imports increased by just under 8 percent to 34.9 billion euros.

In the retail sector, sales rose in 2022 only due to the sharp increase in consumer prices. However, on a price-adjusted basis, revenues fell by nearly 3 percent, particularly in grocery and online retailing. On the other hand, after two years of pandemic-related restricted store opening hours, the retail trade with textiles, clothing and shoes recorded a real increase in sales of more than a third compared to 2021.

Consumers in Saxony paid on average almost 7 percent more in 2022 than in the previous year, which corresponds to the inflation rate. This trend is also reflected throughout Germany.