GERMAN TRADE BOOM ENDED.

King Country Chronicle, Volume VII, Issue 592, 9 August 1913, Page 7

GERMAN TRADE BOOM ENDED.

Reports received from the machinery manufacturing centres of Germany agree that the trade boom, which apparently has passed its maximum paint has not yielded very handsome profits to producers, although the general impression outside the industry was that because of the activity big profits Were being reaped. There was no lack of orders, as was made known by the delay in their execution which frequently occurred, but which in a great measure arose from the difficulty experienced by manufacturers in obtaining raw material. Selling prices, however, advanced much more slowly than did producing costs, the latter touching exceptional levels owing to the high rates ruling for metals, and also the increased co3t of labour. Competition, moreover, became very keen, plants having been increased, and several new undertakings set up. The demand for electrical machinery was maintained at a high pitch, and that particular branch ox the business continued to show progress. It was not expected that any serious restriction of trade in machinery with the America would be immediately noticeable, although there was a slackening of orders from that direction. This, however, was believed to be occasioned by the dearness of money more thsn by any other cause, and. despite this feature, latest reports state that most of the German engineering firms have on their books sufficient work to keep their staffs fully occupied for the next few months. fjWith a view to avoiding competition of a character that threatened the extinction of reasonable profits, the producers a. few weeks ago initiated negotiations lor an understanding, the outcome of